The Hain Celestial Group Inc (HAIN)

The solvency ratios of The Hain Celestial Group Inc have exhibited a stable and favorable trend over the past five years. The debt-to-assets ratio has consistently remained at 0.00 since 2021, indicating that the company does not have any debt in relation to its total assets. This signifies a strong financial position in terms of solvency and the ability to repay debts.

Similarly, the debt-to-capital and debt-to-equity ratios have also shown a declining trend, indicating a lower reliance on debt financing compared to equity. The debt-to-capital ratio has decreased from 0.45 in 2020 to 0.00 in 2024, suggesting that the company's capital structure has become less leveraged over time.

Moreover, the financial leverage ratio has shown a consistent increase from 1.45 in 2020 to 2.25 in 2024, indicating that the company has been using more leverage to finance its operations. However, it is important to note that this ratio is still within a reasonable range, suggesting that the company's financial risk is manageable.

Overall, the solvency ratios of The Hain Celestial Group Inc demonstrate a strong and improving financial position, with decreasing reliance on debt and a stable capital structure. This indicates a solid foundation for the company's financial stability and ability to weather economic uncertainties.

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Coverage ratios

The interest coverage ratio for The Hain Celestial Group Inc has exhibited fluctuations over the past five years. In the most recent period ending on June 30, 2024, the company's interest coverage ratio was unusually low at -0.33, indicating that the company's earnings before interest and taxes were insufficient to cover its interest expenses. This suggests a heightened risk of financial distress due to potential difficulties in meeting interest obligations.

Looking back over the previous years, the interest coverage ratio was also worrisome in June 2023 at -1.87, further highlighting the company's challenges in servicing its debt obligations with its operating income. However, there was a marked improvement in June 2022, with the interest coverage ratio increasing to a healthier level of 8.33, indicating a significant improvement in the company's ability to cover its interest expenses.

In the preceding years, the interest coverage ratio was favorable, with readings of 12.41 in June 2021 and 3.07 in June 2020. These figures suggest that the company had a comfortable cushion of earnings to cover its interest obligations during those periods.

Overall, the trend in The Hain Celestial Group Inc's interest coverage ratio shows variability, with recent years presenting challenges in meeting interest expenses, while earlier years exhibited stronger performance in this financial metric. Investors and stakeholders may need to closely monitor the company's ability to generate sufficient earnings to cover its interest payments in the future.