Huntington Ingalls Industries Inc (HII)

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 0.26 0.15 0.15 0.20 0.20 0.21 0.22 0.23 0.23 0.25 0.29 0.30 0.31 0.32 0.21 0.21 0.21 0.27 0.28 0.22
Debt-to-capital ratio 0.40 0.29 0.29 0.35 0.35 0.37 0.40 0.41 0.42 0.46 0.51 0.53 0.54 0.60 0.45 0.46 0.47 0.55 0.58 0.50
Debt-to-equity ratio 0.67 0.41 0.41 0.54 0.54 0.59 0.66 0.70 0.72 0.85 1.05 1.13 1.17 1.52 0.82 0.85 0.89 1.21 1.36 1.01
Financial leverage ratio 2.60 2.64 2.71 2.71 2.74 2.85 2.98 3.04 3.11 3.48 3.59 3.74 3.78 4.75 3.93 4.15 4.29 4.49 4.91 4.63

The solvency ratios of Huntington Ingalls Industries Inc, based on the provided data, indicate the company's ability to meet its long-term financial obligations.

1. Debt-to-assets ratio: This ratio shows that Huntington Ingalls Industries Inc has maintained a relatively stable level of debt in relation to its total assets over the period, ranging from 0.15 to 0.32. A decreasing trend is observed towards the end of the period, suggesting improved asset coverage for the company's debt obligations.

2. Debt-to-capital ratio: The company's debt-to-capital ratio has fluctuated between 0.29 and 0.60 during the period, with a downward trend in recent quarters. This implies that the proportion of debt in the company's capital structure has been decreasing, indicating a strengthening financial position.

3. Debt-to-equity ratio: Huntington Ingalls Industries Inc has shown a decline in its debt-to-equity ratio from 1.36 to 0.41, indicating a decreasing reliance on debt to finance its operations. The company's decreasing leverage suggests a more conservative approach to financing and less financial risk.

4. Financial leverage ratio: The financial leverage ratio has also shown a decreasing trend from 4.91 to 2.60, indicating a reduction in the company's financial leverage and lower financial risk. This suggests that the company has been managing its debt levels effectively and improving its overall financial stability.

Overall, the trend in solvency ratios for Huntington Ingalls Industries Inc reflects a prudent approach to managing its debt levels and financial risk, leading to a stronger financial position and improved ability to meet its long-term obligations.

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 7.77 10.08 11.01 10.50 9.98 8.31 7.66 8.06 8.05 7.73 7.73 7.65 7.99 8.14 8.71 7.45 8.11 8.90 9.45 11.71

Huntington Ingalls Industries Inc's interest coverage has shown some fluctuations over the reporting periods provided. The interest coverage ratio indicates the company's ability to cover its interest expenses with its operating income.

From March 31, 2020, to December 31, 2021, the interest coverage ratio decreased from 11.71 to 7.99, showing a downward trend. This decline may indicate a decrease in the company's ability to cover its interest obligations with its operating income during this period.

However, from March 31, 2022, to March 31, 2024, the interest coverage ratio fluctuated between 7.65 and 10.50. This fluctuation suggests some variability in the company's ability to cover its interest expenses with its operating income during these periods.

It's worth noting that by the end of December 31, 2024, the interest coverage ratio stood at 7.77, indicating a slight decrease compared to the previous periods. Investors and analysts may want to monitor this ratio closely to assess the company's ability to meet its interest payments in the future.