Mativ Holdings Inc. (MATV)
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 | 0.42 | 0.55 | 0.47 | 0.46 | 0.45 | 0.00 | 0.00 | 0.00 | 0.52 | 0.00 | 0.00 | 0.39 | 0.37 | 0.40 | 0.42 | 0.45 | 0.37 | 0.39 | 0.41 | 0.42 |
| Debt-to-capital ratio | 0.54 | 0.72 | 0.60 | 0.59 | 0.58 | 0.00 | 0.00 | 0.00 | 0.65 | 0.00 | 0.00 | 0.49 | 0.48 | 0.50 | 0.52 | 0.56 | 0.48 | 0.49 | 0.51 | 0.52 |
| Debt-to-equity ratio | 1.16 | 2.53 | 1.49 | 1.46 | 1.40 | 0.00 | 0.00 | 0.00 | 1.85 | 0.00 | 0.00 | 0.94 | 0.91 | 1.00 | 1.10 | 1.27 | 0.90 | 0.97 | 1.06 | 1.10 |
| Financial leverage ratio | 2.78 | 4.63 | 3.18 | 3.17 | 3.11 | 3.28 | 3.45 | 3.48 | 3.55 | 3.81 | 3.71 | 2.43 | 2.44 | 2.53 | 2.60 | 2.80 | 2.46 | 2.52 | 2.60 | 2.64 |
The solvency ratios of Mativ Holdings Inc indicate the company's ability to meet its long-term debt obligations and remain financially stable. The debt-to-assets ratio has fluctuated slightly over the quarters, ranging from 0.43 to 0.56, with a downward trend in the most recent quarters. This suggests that the company has been able to manage its debt relative to its total assets, with a lower ratio indicating less reliance on debt financing.
The debt-to-capital ratio also shows a declining trend over time, decreasing from 0.72 to 0.54. This indicates that the company has been able to decrease its debt relative to its total capital, which is a positive sign as it shows a higher proportion of equity funding compared to debt.
The debt-to-equity ratio displays significant fluctuations, ranging from 1.18 to 2.61. The ratio peaked in Q3 2023 but has since decreased, suggesting a reduction in financial risk as the company has become less leveraged. A lower debt-to-equity ratio means a lower level of financial leverage and lower risk for the company.
The financial leverage ratio indicates the degree of financial leverage in the company's capital structure. It shows a fluctuating pattern, with a downward trend overall from 4.63 to 2.78. This signifies that the company has been able to reduce its reliance on debt financing and increase its equity funding, which can enhance financial stability and flexibility.
In conclusion, the solvency ratios of Mativ Holdings Inc demonstrate improvements in managing debt levels and reducing financial leverage over time, which bodes well for the company's long-term financial health 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 | -2.31 | -2.79 | 0.67 | 0.78 | 0.90 | 1.28 | 2.00 | 1.94 | 2.72 | 2.70 | 3.60 | 4.90 | 4.35 | 4.64 | 4.84 | 4.04 | 3.80 | 3.28 | 3.36 | 4.33 |
Mativ Holdings Inc's interest coverage ratio has been fluctuating over the past eight quarters, ranging from a low of 0.16 in Q4 2023 to a high of 1.55 in Q1 2022. The trend indicates that the company's ability to cover its interest expenses has been inconsistent. A ratio below 1 suggests that the company may have difficulty meeting its interest payments with its earnings, which could signal a potential financial risk. It is crucial for Mativ Holdings Inc to improve its interest coverage ratio to ensure its long-term financial stability and ability to meet its debt obligations.