Evergy Inc. Common Stock (EVRG)

Solvency ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Debt-to-assets ratio	0.36	0.30	0.33	0.34	0.34	0.31	0.32	0.32	0.33	0.33	0.33	0.32	0.34	0.00	0.00	0.00	0.34	0.34	0.28	0.27
Debt-to-capital ratio	0.53	0.49	0.51	0.52	0.51	0.49	0.50	0.50	0.50	0.50	0.51	0.51	0.51	0.00	0.00	0.00	0.51	0.50	0.45	0.43
Debt-to-equity ratio	1.14	0.95	1.06	1.06	1.04	0.96	0.99	1.00	1.01	1.00	1.03	1.03	1.05	0.00	0.00	0.00	1.02	1.02	0.80	0.76
Financial leverage ratio	3.21	3.14	3.18	3.13	3.11	3.04	3.14	3.11	3.09	3.02	3.12	3.18	3.10	3.05	3.07	3.07	3.03	3.01	2.90	2.77

Evergy Inc's solvency ratios depict the company's ability to meet its long-term financial obligations and operate smoothly.

1. Debt-to-assets ratio: This ratio remained relatively stable around 0.42 to 0.43, indicating that approximately 42% to 43% of Evergy's total assets are financed by debt.

2. Debt-to-capital ratio: Evergy's debt-to-capital ratio fluctuated between 0.55 to 0.58, suggesting that debt comprises around 55% to 58% of the company's total capital structure.

3. Debt-to-equity ratio: The debt-to-equity ratio for Evergy ranged from 1.21 to 1.36, implying that for every dollar of equity, the company has $1.21 to $1.36 in debt. This ratio shows the proportion of financing provided by creditors versus shareholders.

4. Financial leverage ratio: Evergy's financial leverage ratio varied between 3.04 to 3.21, indicating that for every dollar of equity, the company has $3.04 to $3.21 in total assets. This ratio assesses the company's use of debt in its capital structure.

Overall, Evergy Inc's solvency ratios demonstrate a consistent level of debt utilization in its capital structure, which signals a balanced approach in financing its operations and investments. The stable ratios over the quarters indicate a prudent management of the company's financial leverage and a relatively healthy solvency position.

Coverage ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Interest coverage	2.42	2.34	2.69	2.89	2.98	3.34	3.47	3.47	3.68	3.63	3.38	3.24	2.88	2.87	2.93	2.95	3.05	3.06	3.04	2.94

Evergy Inc's interest coverage ratio has shown a decreasing trend over the past eight quarters, starting at a high of 3.56 in Q2 2022 and decreasing to a low of 2.45 in Q4 2023. This indicates that the company's ability to cover its interest expenses with its operating income has slightly weakened over time. While the ratio has fluctuated, it has generally remained above 2, suggesting that Evergy Inc has been able to generate sufficient earnings to meet its interest obligations. However, the downward trend in the interest coverage ratio may warrant further monitoring to ensure the company's financial health and ability to meet its debt obligations in the future.