EQT Corporation (EQT)
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 | 0.23 | 0.34 | 0.20 | 0.19 | 0.22 | 0.22 | 0.20 | 0.22 | 0.23 | 0.19 | 0.20 | 0.00 | 0.21 | 0.03 | 0.00 | 0.02 | 0.26 | 0.01 | 0.00 | 0.04 |
| Debt-to-capital ratio | 0.30 | 0.40 | 0.25 | 0.24 | 0.27 | 0.28 | 0.26 | 0.29 | 0.32 | 0.31 | 0.34 | 0.00 | 0.31 | 0.08 | 0.00 | 0.03 | 0.34 | 0.03 | 0.00 | 0.08 |
| Debt-to-equity ratio | 0.44 | 0.66 | 0.33 | 0.32 | 0.37 | 0.39 | 0.35 | 0.42 | 0.47 | 0.45 | 0.51 | 0.00 | 0.46 | 0.09 | 0.00 | 0.03 | 0.52 | 0.03 | 0.00 | 0.08 |
| Financial leverage ratio | 1.93 | 1.96 | 1.63 | 1.68 | 1.71 | 1.73 | 1.77 | 1.87 | 2.03 | 2.34 | 2.50 | 2.66 | 2.17 | 2.79 | 2.29 | 1.96 | 1.96 | 1.99 | 1.91 | 1.93 |
The solvency ratios of EQT Corporation provide insights into the company's ability to meet its financial obligations and its overall financial leverage:
1. Debt-to-assets ratio: This ratio indicates the proportion of the company's assets financed by debt. EQT Corporation's debt-to-assets ratio fluctuated over the analyzed period, ranging from 0.00 to 0.34. A lower ratio signifies less reliance on debt to finance assets, while a higher ratio may indicate higher financial risk.
2. Debt-to-capital ratio: This ratio shows the percentage of the company's capital structure represented by debt. EQT Corporation's debt-to-capital ratio varied between 0.00 and 0.40. A decreasing trend in this ratio may suggest a decreasing reliance on debt for capital.
3. Debt-to-equity ratio: This ratio reflects the company's reliance on debt versus equity to finance its operations. EQT Corporation's debt-to-equity ratio ranged from 0.00 to 0.66. A higher ratio indicates that the company has a higher level of debt relative to equity, which may increase financial risk.
4. Financial leverage ratio: This ratio measures the extent to which the company's operations are funded by debt. EQT Corporation's financial leverage ratio ranged from 1.63 to 2.79. A higher ratio indicates higher financial leverage and potential financial risk.
Overall, EQT Corporation's solvency ratios show fluctuations over the analyzed period, with varying levels of debt utilization and financial leverage. It is essential for investors and stakeholders to monitor these ratios to assess the company's financial stability and risk profile.
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 | 1.51 | 1.84 | 3.80 | 3.89 | 10.58 | 19.38 | 23.77 | 26.76 | 10.31 | 10.23 | -2.64 | -11.19 | -4.42 | -12.88 | -6.60 | -3.38 | -3.84 | -10.86 | -10.30 | -8.53 |
The interest coverage ratio for EQT Corporation experienced significant fluctuations over the analyzed periods. The ratio was consistently negative from March 2020 to June 2022, indicating that the company's operating income was not sufficient to cover its interest expenses during these periods. This raised concerns about EQT's ability to meet its debt obligations using its current earnings.
However, there was a notable improvement in EQT's interest coverage ratio starting from September 2022, when the ratio turned positive. This positive trend continued throughout the following quarters, reaching its peak in March 2023 with a ratio of 26.76. This improvement suggests that EQT's operating income became more robust, allowing the company to comfortably cover its interest payments.
Subsequently, the interest coverage ratio decreased in the following periods but remained above 1, indicating that EQT continued to generate enough operating income to cover its interest expenses. Overall, the improvement in EQT Corporation's interest coverage ratio from negative to positive values reflects a positive development in the company's financial health and ability to meet its debt obligations with its earnings.