Exponent Inc (EXPO)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.85 | 1.82 | 1.83 | 1.64 | 1.60 |
Exponent Inc's solvency ratios paint a picture of a company with very low debt levels and a strong financial position. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all remained at 0.00 from December 31, 2020, to December 31, 2024, indicating that the company does not rely on debt to finance its operations and investments.
The Financial leverage ratio, which measures the proportion of debt in a company's capital structure, has shown a slight increase from 1.60 in 2020 to 1.85 in 2024. This indicates that the company's reliance on debt has increased marginally over the years, but it is still at a moderate level.
Overall, Exponent Inc's solvency ratios suggest a conservative financial strategy with a focus on maintaining a strong balance sheet and minimal debt obligations, which bodes well for the company's long-term financial stability and sustainability.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | — | — | 67.20 | 4.66 | 4.05 |
Interest coverage ratio measures a company's ability to cover its interest expenses with its operating income. In the case of Exponent Inc, the interest coverage ratio has shown an increasing trend over the years, indicating the company's improving ability to meet its interest obligations.
As of December 31, 2020, Exponent Inc had an interest coverage ratio of 4.05, which means the company generated operating income that was 4.05 times greater than its interest expenses. By December 31, 2021, this ratio improved to 4.66, indicating a further strengthening of the company's ability to cover its interest costs.
The most notable increase was seen by December 31, 2022, where the interest coverage ratio surged to 67.20. This considerable spike suggests a significant increase in operating income relative to interest expenses, reflecting a very strong financial position for Exponent Inc during that period.
However, the absence of data for the years 2023 and 2024 makes it challenging to assess the company's interest coverage performance for those years. It is important for stakeholders to monitor future financial reports to evaluate Exponent Inc's ability to continue meeting its interest obligations efficiently.