Installed Building Products Inc (IBP)
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 | 2.92 | 2.89 | 2.96 | 2.95 | 2.96 | 3.06 | 3.27 | 3.52 | 3.60 | 3.86 | 4.25 | 4.24 | 3.97 | 3.38 | 3.51 | 3.62 | 3.72 | 3.83 | 4.15 | 4.42 |
Installed Building Products Inc has consistently maintained a very low debt-to-assets ratio, which has remained at 0.00 across all reported periods. This indicates that the company has minimal debt relative to its total assets, which is a positive indicator of financial stability and solvency.
Similarly, the debt-to-capital ratio and debt-to-equity ratio have also remained at 0.00 throughout the periods analyzed. This suggests that the company relies very little on debt to finance its operations and growth, and has a strong equity base.
The financial leverage ratio, which measures the extent to which a company is using debt to finance its operations, has shown a decreasing trend from 4.42 in March 2020 to 2.92 in December 2024. This declining trend indicates that Installed Building Products Inc has been reducing its reliance on debt over time, which can lower financial risk and enhance solvency.
Overall, the solvency ratios of Installed Building Products Inc reflect a sound financial position with minimal debt levels and a conservative capital structure, suggesting a healthy and stable financial condition.
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 | 7.72 | 10.76 | 9.66 | 9.20 | 9.44 | 9.04 | 9.12 | 8.98 | 8.31 | 6.99 | 6.52 | 5.97 | 5.73 | 6.07 | 5.78 | 5.36 | 5.33 | 4.89 | 4.49 | 4.43 |
Installed Building Products Inc's interest coverage ratio has shown a generally increasing trend over the analyzed period from March 31, 2020, to December 31, 2024. The interest coverage ratio measures the company's ability to cover its interest expenses with its operating income.
Starting at 4.43 as of March 31, 2020, the interest coverage ratio improved steadily, reaching 10.76 on September 30, 2024, before dropping to 7.72 on December 31, 2024. This indicates that the company was generating sufficient operating income to cover its interest expenses, with a peak coverage ratio observed in the third quarter of 2024.
The rising trend in the interest coverage ratio suggests an improving ability of Installed Building Products Inc to meet its interest obligations. However, the slight decline in the last quarter of 2024 should be monitored to ensure continued financial health and stability. Overall, a higher interest coverage ratio signifies a lower risk of default on debt payment, indicating a positive financial position for the company.