Geo Group Inc (GEO)
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 | 2.72 | 2.76 | 2.84 | 2.81 | 2.86 | 2.96 | 2.98 | 3.09 | 3.23 | 3.34 | 4.25 | 4.51 | 4.65 | 4.51 | 4.63 | 4.71 | 4.89 | 4.56 | 4.49 | 4.37 |
Geo Group Inc has maintained a consistently low solvency profile based on the solvency ratios. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all remained at 0.00 from March 2020 to December 2024, indicating that the company has no significant long-term debt relative to its assets, capital, or equity during this period.
The financial leverage ratio, on the other hand, has shown a declining trend from 4.37 in March 2020 to 2.72 in December 2024. This downward trend indicates that the company has been reducing its reliance on debt financing over time, thus improving its financial leverage position.
Overall, the solvency ratios suggest that Geo Group Inc has maintained a strong financial position with minimal debt obligations and decreasing financial leverage, which may indicate a lower risk of insolvency and greater financial stability for the company going forward.
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 | 1.63 | 1.67 | 1.59 | 1.62 | 1.66 | 1.73 | 1.88 | 2.11 | 2.33 | 2.43 | 2.50 | 2.41 | 2.28 | 2.23 | 2.18 | 2.08 | 1.97 | 1.92 | 1.93 | 1.94 |
Geo Group Inc's interest coverage ratio has shown a fluctuating trend over the past few years, starting at around 1.94 in March 2020 and gradually increasing to 2.50 by June 30, 2022. This indicates the company's ability to cover its interest expenses improved during this period. However, the ratio began to decline from September 30, 2022, reaching 1.63 by December 31, 2024.
A general observation is that Geo Group Inc's interest coverage ratio has been above 1 throughout the period, which means the company has been able to meet its interest obligations from its earnings. It is important to note that a higher interest coverage ratio is generally seen as a positive indicator of a company's financial health, as it suggests that the company is in a better position to cover its interest expenses with its operating income.
Overall, fluctuations in the interest coverage ratio should be monitored closely, as a declining ratio could indicate potential challenges in meeting interest payments from operating earnings, which may pose financial risks for the company.