Matson Inc (MATX)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.73 | 1.79 | 1.89 | 2.21 | 3.02 |
The solvency ratios of Matson Inc reflect a strong financial position with consistently low levels of debt in relation to its assets, capital, and equity over the years. The Debt-to-assets ratio has remained at 0.00 from 2020 to 2024, indicating that the company's total debt is negligible compared to its total assets.
Similarly, the Debt-to-capital ratio and Debt-to-equity ratio have also remained at 0.00 throughout the period, demonstrating that Matson Inc relies more on its own funds rather than debt to finance its operations.
The Financial leverage ratio, which measures the extent to which the company utilizes debt in its capital structure, has shown a declining trend from 3.02 in 2020 to 1.73 in 2024. This suggests that Matson Inc has been reducing its reliance on debt financing over the years, resulting in a stronger financial position and lower risk.
Overall, the solvency ratios indicate that Matson Inc has a solid financial foundation and is well-positioned to meet its financial obligations while maintaining stability and sustainability in the long term.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 80.92 | 31.57 | 76.13 | 52.83 | 10.45 |
Matson Inc's interest coverage ratio has shown a positive trend over the past five years, indicating the company's ability to meet its interest obligations with its operating income. The ratio was 10.45 as of December 31, 2020, indicating that the company's operating income was 10.45 times its interest expenses, which is a healthy level.
By December 31, 2021, the interest coverage ratio had increased significantly to 52.83, showing a strong improvement in the company's ability to cover its interest payments. This trend continued in the following years, with ratios of 76.13, 31.57, and 80.92 for the years ending December 31, 2022, 2023, and 2024, respectively.
The notable increase in 2022 followed by a slight decline in 2023 suggests fluctuations in the company's operating income relative to its interest expenses. However, the ratio remained at a favorable level overall, indicating that Matson Inc has been able to generate sufficient income to comfortably cover its interest obligations.
Overall, Matson Inc's interest coverage ratio has been robust and improving in recent years, reflecting the company's strong financial position and ability to manage its debt effectively.