Expand Energy Corporation (EXE)
Solvency ratios
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.15 | 0.15 | 0.14 | 0.14 | 0.14 | 0.14 | 0.14 | 0.20 | 0.19 | 0.22 | 0.21 | 0.21 | 0.17 | 0.18 | 0.18 | 0.00 | 0.00 | 0.00 | 1.17 | 0.56 |
| Debt-to-capital ratio | 0.17 | 0.16 | 0.16 | 0.16 | 0.17 | 0.16 | 0.17 | 0.25 | 0.30 | 0.34 | 0.34 | 0.29 | 0.29 | 0.27 | 0.25 | — | — | — | 1.76 | 0.68 |
| Debt-to-equity ratio | 0.20 | 0.19 | 0.19 | 0.19 | 0.20 | 0.20 | 0.20 | 0.34 | 0.43 | 0.52 | 0.52 | 0.40 | 0.41 | 0.37 | 0.33 | — | — | — | — | 2.08 |
| Financial leverage ratio | 1.31 | 1.31 | 1.31 | 1.34 | 1.39 | 1.39 | 1.42 | 1.70 | 2.22 | 2.39 | 2.47 | 1.94 | 2.41 | 2.05 | 1.78 | — | — | — | — | 3.71 |
Expand Energy Corporation's solvency ratios show a consistent and improving trend over the past few quarters. The debt-to-assets ratio has remained relatively stable at around 0.14 to 0.15, indicating that the company has a low level of debt in relation to its total assets.
Similarly, the debt-to-capital ratio has also shown stability in the range of 0.16 to 0.17, suggesting that the company's debt as a percentage of its total capital has been well managed.
The debt-to-equity ratio has slightly decreased from 0.20 to 0.19, indicating a favorable trend in the company's ability to meet its long-term obligations with equity financing.
The financial leverage ratio has shown a significant improvement from 1.70 to 1.31, indicating that the company has been able to reduce its financial leverage and reliance on debt to finance its operations.
Overall, these solvency ratios reflect Expand Energy Corporation's sound financial health and prudent management of its debt levels, which should enhance its ability to weather financial challenges and pursue growth opportunities in the future.
Coverage ratios
| 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 | Dec 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 4.44 | 7.25 | 16.78 | 30.97 | 38.48 | 37.15 | 38.90 | 23.82 | 20.56 | 14.91 | -1.25 | 13.27 | -11.97 | -15.59 | -4.80 | -28.47 | -20.73 | -14.06 | -12.57 | 0.02 |
Expand Energy Corporation's interest coverage ratio has shown significant fluctuation over the past few quarters. The interest coverage ratio measures the company's ability to meet its interest payments on outstanding debt with its operating income.
In the most recent quarter, the interest coverage ratio stands at 4.44, which indicates that Expand Energy Corporation is generating enough operating income to cover its interest expenses approximately 4.44 times. This implies a moderate level of financial stability.
Looking at the trend, the interest coverage ratio has been improving steadily since the negative ratios reported in the first quarter of 2022, indicating a more robust financial position and improved ability to service debt. The company's interest coverage ratio has been above 1, signaling that it is generating sufficient income to cover its interest expenses since the second quarter of 2022.
The substantial increase in the interest coverage ratio from negative values to positive values over the quarters reflects the company's efforts to enhance its financial performance and efficiency in managing its debt obligations. However, the negative values seen in the past demonstrate a period of financial distress where the company's operating income was insufficient to cover its interest payments.
Overall, the recent positive trend in Expand Energy Corporation's interest coverage ratio is a positive indicator of the company's ability to handle its debt obligations and suggests improving financial health. However, it is essential for the company to sustain this positive trend to ensure long-term financial stability and growth.