Jazz Pharmaceuticals PLC (JAZZ)
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 | 2.93 | 2.94 | 3.02 | 3.06 | 3.05 | 3.21 | 3.19 | 3.31 | 3.51 | 3.78 | 3.50 | 3.26 | 3.10 | 3.17 | 3.20 | 1.78 | 1.79 | 1.86 | 1.93 | 1.86 |
The solvency ratios for Jazz Pharmaceuticals PLC indicate a healthy financial position with no significant debt obligations relative to its assets, capital, or equity from March 2020 to December 2024.
The Debt-to-Assets ratio remained consistently at 0.00 throughout the period, suggesting that the company's total debt level was effectively negligible compared to its total assets. This signifies a low risk of insolvency due to debt obligations.
Similarly, the Debt-to-Capital ratio and Debt-to-Equity ratio also maintained a stable 0.00, indicating that Jazz Pharmaceuticals relied minimally on debt financing in relation to its capital and equity base.
However, it is notable that the Financial Leverage ratio showed some fluctuation during the period, starting at 1.86 in March 2020 but gradually increasing to a peak of 3.78 in September 2022 before slightly decreasing towards the end of the reporting period. This trend suggests an increase in leverage and financial risk over time, although the ratios remained within a manageable range overall.
Overall, the consistent low debt ratios and manageable financial leverage indicate that Jazz Pharmaceuticals PLC has maintained a strong solvency position with a prudent approach to debt management, ensuring stability and financial health in the long term.
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 | 3.15 | 2.77 | 2.35 | 2.12 | 2.33 | 2.15 | 2.00 | 2.09 | 2.02 | 2.72 | 2.23 | 1.47 | 1.71 | 1.55 | 3.39 | 7.26 | 4.36 | 3.17 | 3.29 | 3.70 |
The interest coverage ratio for Jazz Pharmaceuticals PLC has exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio measures the company's ability to cover its interest expenses with its operating income.
Initially, the interest coverage ratio stood at 3.70 on March 31, 2020, indicating that the company generated sufficient operating income to cover its interest payments. However, this ratio decreased to 1.55 by September 30, 2021, suggesting a potential decline in the company's ability to meet its interest obligations comfortably.
There was a notable improvement in the interest coverage ratio in the following periods, with the ratio increasing to 2.77 by September 30, 2024. This increase may indicate an enhancement in the company's profitability and financial health, enabling it to cover its interest expenses more effectively.
It is essential for investors and stakeholders to monitor the interest coverage ratio regularly to assess the company's financial stability and its capacity to service its debt obligations. A higher ratio typically indicates a lower risk of financial distress due to inadequate coverage of interest payments.