Johnson Controls International PLC (JCI)
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 | 0.00 | 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 | 2.63 | 2.55 | 2.62 | 2.73 | 2.67 | 2.59 | 2.65 | 2.60 | 2.45 | 2.39 | 2.36 | 2.33 | 2.35 | 2.34 | 2.32 | 2.23 | 2.20 | 2.14 | 2.12 | 2.42 |
The solvency ratios of Johnson Controls International plc show a relatively stable financial position over the past eight quarters. The debt-to-assets ratio, which measures the proportion of assets financed by debt, has fluctuated within a narrow range, indicating prudent management of debt relative to the company's total assets.
Similarly, the debt-to-capital and debt-to-equity ratios have remained relatively steady, with only minor fluctuations. These ratios suggest that the company has maintained a balanced mix of debt and equity in its capital structure. However, the upward trend in the debt-to-equity ratio from March 2023 to December 2023 warrants close attention, as it may indicate an increasing reliance on debt financing compared to equity.
The financial leverage ratio, which reflects the extent of the company's financial leverage, also displays a consistent pattern over the period. Despite some fluctuations, the ratio has generally remained within a narrow range, suggesting a stable capital structure in terms of leveraging.
In conclusion, Johnson Controls International plc's solvency ratios illustrate a generally stable and well-managed financial position, with only limited variability in its debt and leverage metrics. However, the recent uptick in the debt-to-equity ratio indicates the need for ongoing monitoring of the company's debt management strategies.
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 | 4.26 | 3.89 | 6.71 | 6.17 | 6.02 | 7.75 | 8.93 | 10.00 | 12.37 | 12.44 | 10.86 | 6.93 | 5.33 | 4.08 | 2.02 | 18.96 | 18.00 | 17.24 | 17.47 | 7.22 |
The interest coverage ratio measures a company's ability to pay its interest expenses on outstanding debt. Johnson Controls International plc's interest coverage ratio has shown a gradual decline over the past few quarters, indicating a slight decrease in the company's ability to cover its interest payments with its operating income. However, it is important to note that the interest coverage ratio remains above the generally accepted minimum benchmark of 1.5, indicating that the company's operating income continues to comfortably cover its interest expenses. Despite the slight decrease, the trend suggests that Johnson Controls International plc has maintained a healthy level of interest coverage, providing a reasonable assurance to investors and creditors of the company's ability to meet its debt obligations.
See also:
Johnson Controls International PLC Solvency Ratios (Quarterly Data)