Enersys (ENS)
Solvency ratios
| Mar 31, 2025 | 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 | Jul 5, 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 | 0.33 |
| 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 | 0.44 |
| 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 | 0.79 |
| Financial leverage ratio | — | 2.18 | 2.15 | 1.97 | 1.98 | 2.03 | 2.10 | 2.07 | 2.26 | 2.34 | 2.57 | 2.59 | 2.51 | 2.39 | 2.24 | 2.22 | 2.25 | 2.28 | 2.33 | 2.41 |
Enersys has shown consistent improvement in its solvency ratios over the years. The Debt-to-assets ratio has decreased steadily from 0.33 in July 2020 to 0.00 by March 2025, indicating a reduction in the company's reliance on debt to finance its assets.
Similarly, the Debt-to-capital ratio has followed a similar trend, decreasing from 0.44 in July 2020 to 0.00 by March 2025. This demonstrates the company's ability to fund its operations and investments with its own capital rather than debt.
The Debt-to-equity ratio has also improved from 0.79 in July 2020 to 0.00 by March 2025, reflecting a stronger financial position and a reduced level of financial risk.
The Financial leverage ratio has fluctuated over the years but has generally decreased from 2.41 in July 2020 to 1.98 by March 2024. This indicates that the company has been reducing its reliance on debt financing and has become more capital efficient.
Overall, Enersys has shown a positive trend in its solvency ratios, indicating a strong financial position and a decreasing risk of financial distress.
Coverage ratios
| Mar 31, 2025 | 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 | Jul 5, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 8.63 | 8.39 | 7.89 | 7.70 | 6.99 | 6.62 | 5.72 | 4.97 | 4.61 | 4.33 | 4.57 | 5.04 | 5.69 | 5.82 | 5.89 | 5.90 | 5.47 | 5.12 | 4.06 | 3.77 |
Enersys has shown a consistent improvement in its interest coverage ratio over the years, indicating its ability to comfortably cover its interest expenses with its earnings. The trend started at 3.77 on July 5, 2020, and steadily increased to reach 8.63 on March 31, 2025. This upward trend suggests a strengthening financial position, as the company's earnings have been sufficient to meet its interest obligations.
The company's interest coverage ratio surpassed the industry average, typically considered healthy when above 3-4. Enersys' interest coverage ratio exceeding this benchmark for most of the periods indicates a relatively low risk of default due to interest payment obligations. Despite some fluctuations, the general trend shows a positive trajectory, which is a positive sign for investors and creditors alike.
It is essential for Enersys to maintain a healthy interest coverage ratio to ensure financial stability and the ability to access credit on favorable terms when needed. The consistent improvement in this ratio reflects positively on the company's financial management and operational efficiency, providing a measure of assurance to stakeholders regarding the company's ability to fulfill its debt obligations.