Hasbro Inc (HAS)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 5.35 | 6.16 | 3.25 | 3.28 | 3.68 |
Hasbro Inc has consistently maintained a strong solvency position with all its debt-related ratios consistently showing a value of 0.00 from December 31, 2020, to December 31, 2024. This signifies that the company has no debt in relation to its assets, capital, or equity during this period.
However, the financial leverage ratio has fluctuated over the years, with a value of 3.68 in 2020, decreasing to 3.28 in 2021, and further declining to 3.25 in 2022. The sudden increase to 6.16 in 2023 followed by a decrease to 5.35 in 2024 may indicate a change in the company's capital structure or borrowing activities.
Overall, the consistent 0.00 values for the debt-related ratios suggest that Hasbro Inc has a robust financial position with minimal reliance on debt to finance its operations, while the fluctuations in the financial leverage ratio highlight potential variations in the company's leverage and risk exposure over the years.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 3.90 | -8.17 | 2.53 | 4.24 | 2.60 |
The interest coverage ratio for Hasbro Inc has fluctuated over the years, reflecting the company's ability to meet its interest obligations. In 2020, the ratio was 2.60, indicating that the company's operating income was sufficient to cover its interest expenses. This ratio improved in 2021 to 4.24, which suggests a stronger ability to pay interest costs from operating earnings.
However, in 2022, the interest coverage ratio dropped to 2.53, which might raise concerns about the company's ability to meet its interest payments. The following year, in 2023, the interest coverage ratio significantly deteriorated to -8.17, indicating a potential inability to cover interest expenses with operating income. This negative ratio could be a red flag for investors and creditors, signaling financial distress.
Fortunately, the ratio recovered in 2024 to 3.90, showing an improvement in the company's ability to service its interest obligations compared to the previous year. Overall, fluctuations in the interest coverage ratio for Hasbro Inc highlight the importance of monitoring the company's ability to generate sufficient operating income to cover its interest payments.