Consolidated Edison Inc (ED)
Solvency ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 3.21 | 3.13 | 3.15 | 3.08 | 3.14 | 3.06 | 3.07 | 0.36 | 3.34 | 3.17 | 3.19 | 3.13 | 3.14 | 3.12 | 3.17 | 3.27 | 3.33 | 3.21 | 3.23 | 3.23 |
Consolidated Edison Inc has consistently maintained very low solvency ratios over the years, indicating a strong financial position in terms of long-term debt obligations. The Debt-to-Assets ratio, Debt-to-Capital ratio, and Debt-to-Equity ratio have all remained at 0.00 from March 2020 to December 2024, reflecting that the company's total debt is negligible relative to its total assets, capital, and equity.
The Financial Leverage ratio, which measures the extent of a company's financial leverage, has varied slightly over the same period but remained relatively stable. The ratio started at 3.23 in March 2020, with minor fluctuations in subsequent quarters, reaching a peak of 3.34 in December 2022 before declining to 3.21 by December 2024. This indicates that Consolidated Edison Inc has maintained a conservative level of leverage, with a reasonable balance between debt and equity in its capital structure.
Overall, based on the solvency ratios analyzed, Consolidated Edison Inc appears to have a solid financial standing with a low level of debt relative to its total assets, capital, and equity.
Coverage ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 2.68 | 3.27 | 3.13 | 3.30 | 3.41 | 3.18 | 3.56 | 3.44 | 3.33 | 2.99 | 2.83 | 2.71 | 2.69 | 2.64 | 2.64 | 2.73 | 2.38 | 2.55 | 2.46 | 2.44 |
Consolidated Edison Inc's interest coverage ratio has shown fluctuations over the period covered in the data provided. The ratio ranged from a low of 2.38 in December 31, 2020, to a high of 3.56 in June 30, 2023. Overall, the trend indicates a somewhat stable performance in meeting its interest obligations, with an average interest coverage ratio of approximately 2.9.
It is important to note that an interest coverage ratio above 1 suggests that the company is generating sufficient earnings to cover its interest expenses. The gradual increase in the interest coverage ratio over the years indicates an improving ability of Consolidated Edison Inc to meet its interest payments, which is generally viewed positively by investors and creditors.
However, the slight decrease in the interest coverage ratio in December 31, 2024, to 2.68 may warrant further scrutiny to understand the reasons behind the change and assess any potential risks to the company's financial health. Overall, a consistent monitoring of the interest coverage ratio is crucial to evaluate the company's capacity to handle its debt obligations effectively.