Huntington Ingalls Industries Inc (HII)

Solvency ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Debt-to-assets ratio	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	0.18	0.22	0.23	0.21
Debt-to-capital ratio	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	0.45	0.48	0.51	0.49
Debt-to-equity ratio	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	0.81	0.91	1.04	0.96
Financial leverage ratio	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	4.43	4.21	4.44	4.48

Huntington Ingalls Industries Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations and the extent to which it relies on debt for its operations.

The Debt-to-assets ratio has been relatively stable over the last eight quarters, ranging between 0.22 and 0.30. This indicates that between 22% and 30% of the company's assets are financed by debt. The decreasing trend from Q2 2023 to Q4 2023 suggests the company may be reducing its reliance on debt to finance its assets.

The Debt-to-capital ratio has also shown a consistent increase from 0.37 in Q4 2022 to 0.53 in Q1 2022. This indicates that debt accounts for between 37% and 53% of the company's capital structure. The increasing trend suggests that the company is becoming more leveraged over time.

The Debt-to-equity ratio has shown fluctuations but generally an increasing trend, ranging from 0.60 to 1.13 over the past eight quarters. This indicates that for every dollar of equity, the company has between 60 cents and $1.13 of debt, suggesting a higher reliance on debt compared to equity financing.

The Financial leverage ratio has also shown a consistent increase from 2.74 in Q4 2022 to 3.74 in Q1 2022. This ratio indicates the company's total assets relative to its equity, highlighting its level of financial leverage. An increasing trend in this ratio suggests a higher level of financial risk as the company relies more on debt to finance its assets.

Overall, Huntington Ingalls Industries Inc's solvency ratios show a mixed picture with some stability in the debt-to-assets ratio but increasing leverage and reliance on debt for financing its operations over the past eight quarters. Investors and stakeholders should closely monitor these ratios to assess the company's long-term financial health and risk profile.

Coverage ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Interest coverage	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	10.76	12.06	14.34	16.68

Huntington Ingalls Industries Inc's interest coverage ratio has been relatively stable over the past eight quarters, with values ranging from 5.35 to 6.96. The interest coverage ratio indicates the company's ability to meet its interest expenses with its operating profits. A ratio above 1 suggests that the company generates enough operating income to cover its interest obligations.

Huntington Ingalls Industries Inc's interest coverage ratios have consistently been above 5 over the past two years, indicating a strong ability to cover its interest payments. This signifies that the company has a healthy level of earnings before interest and taxes (EBIT) relative to its interest expenses, providing a cushion against potential financial risks.

Overall, the trend of consistent and relatively high interest coverage ratios for Huntington Ingalls Industries Inc demonstrates the company's financial stability and ability to manage its debt obligations effectively.