H B Fuller Company (FUL)

Solvency ratios

Nov 30, 2024 Aug 31, 2024 Jun 1, 2024 Mar 2, 2024 Dec 2, 2023 Sep 2, 2023 Jun 3, 2023 Mar 4, 2023 Dec 3, 2022 Aug 27, 2022 May 28, 2022 Feb 26, 2022 Nov 27, 2021 Aug 28, 2021 May 29, 2021 Feb 27, 2021 Nov 28, 2020 Aug 29, 2020 May 30, 2020 Feb 29, 2020
Debt-to-assets ratio 0.41 0.41 0.41 0.39 0.39 0.40 0.40 0.41 0.39 0.41 0.41 0.41 0.37 0.38 0.40 0.42 0.44 0.46 0.48 0.47
Debt-to-capital ratio 0.52 0.52 0.53 0.51 0.51 0.52 0.52 0.53 0.52 0.54 0.54 0.53 0.50 0.51 0.52 0.55 0.56 0.58 0.61 0.61
Debt-to-equity ratio 1.10 1.10 1.13 1.03 1.05 1.08 1.10 1.13 1.08 1.19 1.18 1.15 1.00 1.04 1.08 1.21 1.27 1.41 1.57 1.56
Financial leverage ratio 2.70 2.70 2.75 2.65 2.69 2.70 2.74 2.78 2.77 2.90 2.86 2.82 2.68 2.72 2.73 2.85 2.92 3.03 3.27 3.30

The solvency ratios of H B Fuller Company show a consistent improvement in its financial leverage and debt management over the analyzed periods. The Debt-to-assets ratio has decreased gradually from 0.47 in February 2020 to 0.39 in December 2023 before slightly increasing to 0.41 in June 2024. This indicates the company's ability to reduce its reliance on debt to finance its assets.

Similarly, the Debt-to-capital ratio has shown a declining trend from 0.61 in February 2020 to 0.52 in August 2024, reflecting a decreasing proportion of debt in the company's capital structure. The Debt-to-equity ratio also demonstrates a downward movement from 1.56 in February 2020 to 1.03 in March 2024, showcasing a decreasing reliance on debt financing in relation to equity.

Moreover, the Financial leverage ratio has decreased consistently from 3.30 in February 2020 to 2.70 in November 2024, indicating a reduction in the company's financial risk and leverage.

Overall, these solvency ratios suggest that H B Fuller Company has been effectively managing its debt levels, improving its financial stability and reducing its financial risk over the analyzed period.

Coverage ratios

Nov 30, 2024 Aug 31, 2024 Jun 1, 2024 Mar 2, 2024 Dec 2, 2023 Sep 2, 2023 Jun 3, 2023 Mar 4, 2023 Dec 3, 2022 Aug 27, 2022 May 28, 2022 Feb 26, 2022 Nov 27, 2021 Aug 28, 2021 May 29, 2021 Feb 27, 2021 Nov 28, 2020 Aug 29, 2020 May 30, 2020 Feb 29, 2020
Interest coverage 2.58 2.84 2.75 2.65 2.58 2.49 2.71 3.01 3.46 3.81 3.64 3.40 3.19 3.04 3.01 2.80 2.50 2.22 2.18 2.22

Based on the provided data on H B Fuller Company's interest coverage ratio over the specified periods, we can observe a general upward trend in the company's ability to cover its interest expenses.

The interest coverage ratio, which indicates the company's ability to meet its interest payments from its operating profits, shows an improvement from 2.22 in February 2020 to 3.64 in May 2022. This suggests that H B Fuller Company experienced a more comfortable cushion to cover its interest expenses over this period.

However, there seems to be some fluctuations in the interest coverage ratio from May 2022 to November 2024, with the ratio fluctuating between 2.58 and 3.81. These fluctuations could be attributed to changes in operating profits, interest expenses, or a combination of both.

Overall, the upward trend in the interest coverage ratio from 2020 to 2022 followed by some fluctuations indicates that H B Fuller Company has been gradually improving its ability to cover its interest obligations, although there may be some variability in its financial performance in recent periods. It is essential for the company to maintain a healthy interest coverage ratio to ensure it can honor its debt obligations and remain financially stable.