Fulgent Genetics Inc (FLGT)
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 | 0.00 | 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 | 0.00 | 0.00 |
| 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 | 0.00 | 0.00 |
| 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 | 0.00 | 0.00 |
| Financial leverage ratio | 1.08 | 1.08 | 1.09 | 1.09 | 1.12 | 1.08 | 1.08 | 1.08 | 1.09 | 1.10 | 1.12 | 1.12 | 1.10 | 1.16 | 1.14 | 1.25 | 1.23 | 1.32 | 1.10 | 1.10 |
Fulgent Genetics Inc has shown strong solvency ratios, as indicated by consistently low debt-to-assets, debt-to-capital, and debt-to-equity ratios of 0.00 over the forecasted period from March 31, 2020, to December 31, 2024. These ratios suggest that the company has minimal debt relative to its assets, capital, and equity, which is a positive sign of its financial health and ability to meet its obligations.
Additionally, the financial leverage ratio, which measures the proportion of a company's assets that are financed by debt, has remained relatively stable around 1.10 to 1.12 over the forecasted period. This indicates that Fulgent Genetics has a conservative capital structure with a healthy balance between debt and equity financing.
Overall, the low debt levels and stable financial leverage ratio suggest that Fulgent Genetics has a strong solvency position, which may provide investors and creditors with confidence in the company's ability to weather financial challenges and meet its long-term obligations.
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 | -336.42 | -2.54 | -1.84 | -1.96 | -1.94 | -10.97 | -9.81 | -4.58 | 33.25 | 150.17 | 340.96 | 510.12 | 474.26 | 379.05 | 344.16 | 356.68 | 190.14 | 53.83 | 2.39 | -1.06 |
Based on the provided data, Fulgent Genetics Inc's interest coverage ratio has shown significant fluctuations over the last few years. The interest coverage ratio measures the company's ability to meet its interest obligations on its outstanding debt.
From March 31, 2020, to March 31, 2022, the interest coverage ratio steadily improved, indicating that the company's operating income was increasingly more than sufficient to cover its interest expenses. This improvement peaked at 510.12 on March 31, 2022, suggesting a strong ability to service its interest payments.
However, starting from June 30, 2022, the interest coverage ratio began to decline, and it turned negative on March 31, 2023. This indicates that the company's operating income became insufficient to cover its interest expenses during this period, raising concerns about its financial leverage and ability to meet debt obligations.
The negative trend continued until December 31, 2024, where the interest coverage ratio reached its lowest point at -336.42. Such a low interest coverage ratio implies a critical situation where the company's earnings are not able to cover its interest payments, posing significant financial risk and potential liquidity issues.
In conclusion, the trend in Fulgent Genetics Inc's interest coverage ratio suggests a serious deterioration in its ability to meet interest obligations, indicating a potentially unsustainable financial position that may require immediate attention and strategic actions to improve profitability and financial stability.