Maximus Inc (MMS)

Solvency ratios

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 Dec 31, 2019
Debt-to-assets ratio 0.26 0.28 0.28 0.30 0.29 0.31 0.31 0.35 0.32 0.35 0.34 0.36 0.35 0.37 0.10 0.01 0.01 0.07 0.08 0.00
Debt-to-capital ratio 0.37 0.38 0.39 0.42 0.41 0.43 0.43 0.48 0.45 0.48 0.47 0.50 0.49 0.53 0.15 0.01 0.01 0.11 0.12 0.00
Debt-to-equity ratio 0.59 0.61 0.63 0.71 0.70 0.75 0.75 0.94 0.83 0.94 0.89 0.99 0.97 1.12 0.18 0.01 0.01 0.12 0.13 0.00
Financial leverage ratio 2.24 2.20 2.26 2.34 2.39 2.41 2.43 2.68 2.58 2.67 2.64 2.74 2.78 3.01 1.78 1.59 1.63 1.73 1.72 1.53

Maximus Inc's solvency ratios have shown some fluctuations over the past few periods. The debt-to-assets ratio has remained relatively stable around 0.30, indicating that the company has been able to maintain a healthy balance between debt and assets. However, there was a slight increase in the ratio in the most recent period, which suggests a slightly higher proportion of debt relative to assets.

The debt-to-capital ratio has also exhibited stability, hovering around 0.40, although there was a slight increase in the most recent period. This indicates that the company relies on debt for approximately 40% of its capital structure.

The debt-to-equity ratio has shown more variability, with significant fluctuations from 0.60 to 1.10 over the periods analyzed. This ratio reached its peak in the most recent period, signaling a higher level of financial risk as the company's debt relative to equity has increased.

The financial leverage ratio, which measures the company's level of financial risk and indicates the extent to which it relies on debt financing, has also shown fluctuations, ranging from 1.50 to 3.00. The most recent period shows a relatively high financial leverage ratio, suggesting a higher level of financial risk and potentially more dependence on debt to finance operations.

Overall, Maximus Inc's solvency ratios suggest that while the company has been able to maintain a reasonable balance between debt and assets, there has been an increase in the level of financial risk in the most recent period, as indicated by higher debt-to-equity and financial leverage ratios. This trend should be carefully monitored to ensure the company's long-term financial health and stability.

Coverage ratios

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 Dec 31, 2019
Interest coverage 5.93 5.74 4.71 3.90 3.50 3.89 4.41 5.51 7.09 6.89 10.84 16.28 27.06 91.46 178.98 166.23 140.42 147.86 163.30 115.09

Maximus Inc's interest coverage ratio has shown a fluctuating trend over the past few quarters. The interest coverage ratio indicates the company's ability to meet its interest payments on outstanding debt with its earnings before interest and taxes (EBIT). A higher interest coverage ratio is generally considered better, as it suggests the company is more capable of servicing its debt.

Looking at the data, we see that Maximus Inc's interest coverage ratio has ranged from a low of 3.50 in September 2023 to a high of 178.98 in March 2021. The ratio peaked significantly in the earlier quarters, indicating a strong ability to cover interest expenses with operating earnings. However, in more recent quarters, the interest coverage ratio has declined, suggesting a potential strain on the company's ability to cover interest payments with its operating income.

The decreasing trend in the interest coverage ratio from the high levels seen in 2021 may raise concerns about Maximus Inc's ability to service its debt obligations effectively. It is crucial for investors and stakeholders to monitor this ratio closely to assess the company's financial health and its ability to manage its debt levels. Further analysis of the company's financial performance and debt management strategies will be important in understanding the impact of this trend on Maximus Inc's overall financial stability.