Las Vegas Sands Corp (LVS)
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 | 0.65 | 0.64 | 0.63 | 0.63 | 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 |
| Debt-to-capital ratio | 0.82 | 0.80 | 0.78 | 0.77 | 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 |
| Debt-to-equity ratio | 4.63 | 4.01 | 3.54 | 3.40 | 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 |
| Financial leverage ratio | 7.17 | 6.23 | 5.62 | 5.37 | 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 |
Las Vegas Sands Corp's solvency ratios indicate the company's ability to meet its long-term financial obligations.
1. Debt-to-assets ratio: The trend shows an increase from 0.55 in March 2020 to 0.65 in March 2024 with some fluctuations during the period. This ratio suggests that 65% of the company's assets are financed by debt.
2. Debt-to-capital ratio: Similarly, the trend in the debt-to-capital ratio increases from 0.72 in March 2020 to 0.82 in December 2024, indicating that 82% of the company's capital structure is debt-financed.
3. Debt-to-equity ratio: The trend in debt-to-equity ratio shows fluctuations but generally decreases from 5.10 in December 2020 to 4.63 in December 2024. This ratio indicates that the company's creditors finance a decreasing portion of its assets compared to shareholders.
4. Financial leverage ratio: The financial leverage ratio increases from 4.72 in March 2020 to 7.17 in December 2024, reflecting an increase in the company's financial risk over the period.
Overall, Las Vegas Sands Corp's solvency ratios suggest that the company relies significantly on debt to finance its operations, with an increasing trend in leverage over the years. Concern may arise regarding the company's ability to manage its debt levels effectively 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 | 3.28 | 3.40 | 3.56 | 3.40 | 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 |
The interest coverage ratio measures a company's ability to cover its interest expenses with its operating income. A higher ratio indicates a better ability to meet interest obligations.
For Las Vegas Sands Corp, the interest coverage ratio has fluctuated over the period, starting at a healthy 6.70 in March 2020 but then dropping significantly to negative values in the following quarters until September 2021. This suggests that the company's operating income was insufficient to cover its interest expenses during this period, raising concerns about its financial stability.
However, from March 2022 onwards, the interest coverage ratio improved, reaching positive values and peaking at 4.16 in September 2022. This indicates a better ability to meet interest obligations as operating income increased relative to interest expenses during this period.
Overall, the trend in Las Vegas Sands Corp's interest coverage ratio shows periods of financial strain followed by a recovery phase. It is important for investors and stakeholders to monitor this ratio closely to assess the company's ability to service its debt and manage financial risks effectively.