Fabrinet (FN)
Solvency ratios
| 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 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.01 | 0.01 | 0.01 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.03 | 0.03 | 0.04 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.01 | 0.01 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.05 | 0.05 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.01 | 0.01 | 0.02 | 0.02 | 0.02 | 0.03 | 0.03 | 0.04 | 0.04 | 0.05 | 0.05 | 0.05 |
| Financial leverage ratio | 1.34 | 1.35 | 1.32 | 1.32 | 1.35 | 1.41 | 1.42 | 1.43 | 1.46 | 1.45 | 1.46 | 1.47 | 1.45 | 1.40 | 1.44 | 1.42 | 1.42 | 1.43 | 1.42 | 1.45 |
Fabrinet's solvency ratios provide insights into the company's ability to meet its long-term financial obligations and its overall financial health.
1. Debt-to-assets ratio: The debt-to-assets ratio measures the proportion of a company's assets that are financed with debt. Fabrinet has maintained a consistently low debt-to-assets ratio of around 0.01 to 0.04 over the past several quarters, indicating that the company relies minimally on debt to finance its operations and investments.
2. Debt-to-capital ratio: The debt-to-capital ratio reflects the proportion of a company's capital structure that is comprised of debt. Fabrinet's debt-to-capital ratio has also been low and relatively stable between 0.01 to 0.05, highlighting a conservative approach to leverage and a strong capital base.
3. Debt-to-equity ratio: The debt-to-equity ratio compares a company's total debt to its shareholders' equity, indicating the level of financial leverage the company employs. Fabrinet's debt-to-equity ratio has shown a similar trend to the debt-to-capital ratio, demonstrating a balanced mix of debt and equity financing.
4. Financial leverage ratio: The financial leverage ratio provides an overall view of how much debt a company is using to support its operations. Fabrinet's financial leverage ratio has fluctuated slightly but has generally remained around the 1.40 to 1.45 range, suggesting a moderate level of financial leverage relative to its capital structure.
In summary, Fabrinet's solvency ratios indicate a prudent financial management approach with low debt levels and a well-balanced capital structure. These ratios reflect the company's ability to sustain its operations and fulfill its long-term financial obligations effectively.
Coverage ratios
| 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 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 2,417.70 | 734.60 | 354.95 | 236.31 | 177.70 | 199.67 | 258.14 | 289.47 | 480.09 | 292.56 | 204.68 | 182.93 | 137.80 | 135.77 | 131.78 | 140.52 | 40.17 | 28.60 | 23.02 | 18.46 |
Fabrinet's interest coverage ratio has shown fluctuations over the past few quarters. The interest coverage ratio measures the company's ability to meet its interest obligations on outstanding debt. A higher interest coverage ratio indicates a stronger ability to cover interest expenses.
From the data provided, it is evident that Fabrinet's interest coverage ratio has varied significantly. The interest coverage ratio was notably high at 2,417.70 in Jun 30, 2024, indicating a very strong ability to cover interest expenses during that period. This could be a positive sign showing the company's profitability and capability to pay off its interest obligations.
On the other hand, the interest coverage ratio was lower in some previous quarters, such as 18.46 in Dec 31, 2019, indicating a lower ability to cover interest expenses during that period. This could be a concern as a low interest coverage ratio may suggest financial strain and an increased risk of default on debt payments.
Overall, Fabrinet's interest coverage ratio has exhibited variability, with some quarters showing very strong coverage and others showing weaker coverage. It is important for investors and analysts to monitor this ratio closely to assess the company's financial health and ability to manage its debt obligations effectively.