Korn Ferry (KFY)

The solvency ratios of Korn Ferry indicate the company's ability to meet its long-term debt obligations and reflect its overall financial stability.

The Debt-to-assets ratio has remained relatively stable over the past five years, indicating that Korn Ferry has been able to effectively manage its debt levels relative to its total assets. This suggests a low level of financial risk as the company's assets are well in excess of its debt obligations.

Similarly, the Debt-to-capital ratio has also been consistent, showing that the proportion of debt in Korn Ferry's capital structure has remained relatively steady. This ratio indicates the extent to which the company relies on debt financing and implies a moderate level of financial risk.

The Debt-to-equity ratio has shown a decreasing trend over the past five years, which is a positive sign as it suggests that the company has been reducing its reliance on debt and increasing its equity. This indicates a stronger financial position as the company's debt levels are decreasing relative to its equity.

The Financial leverage ratio has also been relatively stable, indicating that Korn Ferry has maintained a consistent level of financial leverage over the years. This ratio reflects the company's ability to generate earnings through its assets and implies that the company has been able to effectively utilize its assets to generate profits.

Overall, the solvency ratios of Korn Ferry paint a picture of a financially stable company with a prudent approach to managing its debt levels and capital structure.

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Coverage ratios

The interest coverage ratio for Korn Ferry has fluctuated over the past five years, ranging from a low of 1,004.38 in April 2024 to a high of 5,596.12 in April 2022. This ratio indicates Korn Ferry's ability to meet its interest obligations with its earnings before interest and taxes. A higher interest coverage ratio suggests that the company is more capable of servicing its debt, while a lower ratio may indicate potential financial risk. Overall, Korn Ferry's interest coverage has shown volatility over the years, highlighting the importance of closely monitoring the company's financial performance and debt obligations.