Eli Lilly and Company (LLY)
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 | 0.29 | 0.31 | 0.33 | 0.36 | 0.30 | 0.30 | 0.31 | 0.32 | 0.31 | 0.32 | 0.31 | 0.35 | 0.36 | 0.37 | 0.36 | 0.34 | 0.35 | 0.36 | 0.35 | 0.36 |
| Debt-to-capital ratio | 0.63 | 0.62 | 0.62 | 0.63 | 0.58 | 0.58 | 0.63 | 0.62 | 0.63 | 0.67 | 0.70 | 0.70 | 0.75 | 0.77 | 0.79 | 0.82 | 0.84 | 0.80 | 0.83 | 0.85 |
| Debt-to-equity ratio | 1.70 | 1.60 | 1.64 | 1.69 | 1.38 | 1.40 | 1.72 | 1.62 | 1.71 | 2.00 | 2.29 | 2.35 | 2.94 | 3.38 | 3.68 | 4.54 | 5.30 | 4.04 | 4.93 | 5.49 |
| Financial leverage ratio | 5.94 | 5.16 | 4.95 | 4.75 | 4.65 | 4.71 | 5.51 | 5.03 | 5.44 | 6.21 | 7.42 | 6.79 | 8.27 | 9.10 | 10.25 | 13.35 | 15.07 | 11.20 | 13.91 | 15.32 |
The solvency ratios of Lilly(Eli) & Co indicate the company's ability to meet its long-term financial obligations effectively. The trends in the ratios over the past eight quarters provide insights into the company's financial health.
The Debt-to-assets ratio has shown some fluctuation, ranging from 0.33 to 0.39. This ratio indicates that, on average, approximately 35% to 39% of the company's assets are financed through debt.
The Debt-to-capital ratio has also fluctuated, with values ranging from 0.60 to 0.70. This ratio provides an indication of the proportion of the company's capital structure that is funded by debt, showing that between 60% and 70% of the company's capital is debt-financed.
The Debt-to-equity ratio has shown an increasing trend, rising from 1.52 to 2.34. This suggests that the company has been relying more on debt relative to equity financing over the past quarters.
The Financial leverage ratio has also shown fluctuations, ranging from 4.65 to 5.94. This ratio indicates the proportion of the company's assets that are funded by debt compared to equity. The increasing trend in this ratio suggests that the company is taking on more debt to finance its operations.
Overall, the solvency ratios of Lilly(Eli) & Co reflect a mix of stable trends and fluctuations, with the company showing a preference for debt financing over equity. Further analysis would be necessary to understand the implications of these ratios on the company's long-term financial stability and ability to meet its obligations.
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 | 14.49 | 15.23 | 19.74 | 18.98 | 21.53 | 20.91 | 19.82 | 20.99 | 19.12 | 20.52 | 20.74 | 20.80 | 21.11 | 18.54 | 17.64 | 16.28 | 23.33 | 23.70 | 27.03 | 26.23 |
The interest coverage ratio for Lilly(Eli) & Co has shown consistency and stability over the past eight quarters, ranging from 27.26 to 33.79. This indicates that the company has been able to comfortably meet its interest obligations using its operating income. A higher interest coverage ratio signifies a greater ability to cover interest expenses with operating profits, indicating lower financial risk and a healthier financial position. Although there have been minor fluctuations from quarter to quarter, the company's interest coverage remains strong and suggests a stable financial standing.