Las Vegas Sands Corp (LVS)
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 | 0.62 | 0.60 | 0.63 | 0.67 | 0.69 | 0.64 | 0.60 | 0.65 | 0.75 | 0.76 | 0.76 | 0.75 | 0.73 | 0.70 | 0.66 | 0.55 | 0.57 | 0.56 | 0.55 | 0.55 |
| Debt-to-capital ratio | 0.77 | 0.74 | 0.76 | 0.79 | 0.80 | 0.78 | 0.76 | 0.76 | 0.88 | 0.88 | 0.86 | 0.85 | 0.84 | 0.82 | 0.79 | 0.72 | 0.72 | 0.70 | 0.69 | 0.69 |
| Debt-to-equity ratio | 3.28 | 2.92 | 3.21 | 3.76 | 3.90 | 3.53 | 3.18 | 3.17 | 7.55 | 7.18 | 6.22 | 5.75 | 5.10 | 4.58 | 3.87 | 2.60 | 2.55 | 2.35 | 2.23 | 2.21 |
| Financial leverage ratio | 5.29 | 4.86 | 5.14 | 5.60 | 5.68 | 5.50 | 5.26 | 4.91 | 10.05 | 9.46 | 8.18 | 7.68 | 7.00 | 6.56 | 5.83 | 4.72 | 4.47 | 4.18 | 4.06 | 4.04 |
The solvency ratios of Las Vegas Sands Corp indicate its ability to meet its long-term financial obligations. The debt-to-assets ratio has been relatively stable, ranging from 0.64 to 0.72 over the past eight quarters, indicating that around 64% to 72% of the company's assets have been financed by debt.
Similarly, the debt-to-capital ratio and debt-to-equity ratio have shown consistency, with the former fluctuating between 0.76 and 0.80, and the latter ranging from 3.16 to 4.12. These ratios suggest that the company has relied on debt for around 76% to 80% of its capital structure and has a debt-to-equity mix of 3.16 to 4.12 times over the period analyzed.
The financial leverage ratio, which combines debt and equity to measure the company's overall financial health, has varied between 4.86 and 5.68. A higher financial leverage ratio indicates higher financial risk due to increased reliance on debt financing.
Overall, Las Vegas Sands Corp maintains a moderate level of debt compared to its assets, capital, and equity, with relatively consistent ratios over the past two years, indicating a stable solvency position. However, the increasing trend in the debt-to-equity ratio and financial leverage ratio warrants careful monitoring to ensure the company's long-term financial stability.
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 | 2.91 | 2.05 | 1.24 | 0.54 | 3.83 | 4.16 | 3.95 | 3.94 | -0.56 | -0.83 | -1.18 | -2.54 | -2.18 | -0.81 | 2.09 | 6.70 | 7.97 | 6.52 | 6.70 | 6.16 |
Las Vegas Sands Corp's interest coverage ratio has fluctuated significantly over the past eight quarters. The ratio peaked at 4.42 in Q4 2023, indicating that the company's operating income was 4.42 times higher than its interest expenses during that period. This suggests a strong ability to meet its interest obligations.
However, the interest coverage ratio has shown a downward trend in the previous quarters, with values below 1 in Q1 2023, Q4 2022, Q3 2022, Q2 2022, and Q1 2022. A ratio below 1 indicates that the company's operating income was insufficient to cover its interest expenses, raising concerns about its financial health and ability to service its debt.
The sharp fluctuations in the interest coverage ratio suggest that Las Vegas Sands Corp may be experiencing financial volatility or facing challenges in generating sufficient earnings to cover its interest payments consistently. Investors and stakeholders should closely monitor the company's financial performance and debt management strategies to assess the risks associated with its financial obligations.