Merit Medical Systems Inc (MMSI)

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	0.35	0.16	0.18	0.11	0.11	0.13	0.14	0.15	0.14	0.17	0.17	0.19	0.21	0.21	0.23	0.25	0.25	0.25	0.22	0.21
Debt-to-capital ratio	0.41	0.19	0.22	0.14	0.14	0.16	0.18	0.19	0.18	0.21	0.22	0.24	0.26	0.27	0.30	0.32	0.31	0.31	0.29	0.28
Debt-to-equity ratio	0.68	0.23	0.28	0.16	0.16	0.19	0.22	0.23	0.23	0.27	0.29	0.32	0.36	0.37	0.43	0.47	0.45	0.46	0.41	0.39
Financial leverage ratio	1.93	1.47	1.53	1.44	1.45	1.50	1.52	1.54	1.59	1.62	1.65	1.69	1.74	1.79	1.85	1.86	1.85	1.86	1.83	1.80

The solvency ratios of Merit Medical Systems, Inc. indicate the company's ability to meet its long-term financial obligations. The trend analysis of the solvency ratios over the past eight quarters shows fluctuations in the company's leverage and debt levels.

The debt-to-assets ratio has varied between 0.12 and 0.35, with a general increasing trend in recent quarters. This ratio peaked in Q4 2023, indicating that 35% of the company's assets were financed by debt.

The debt-to-capital and debt-to-equity ratios followed a similar pattern, with significant increases in Q4 2023 compared to previous quarters. These ratios reached 0.41 and 0.68 in Q4 2023, respectively, indicating higher reliance on debt to finance operations.

The financial leverage ratio, which measures the company's level of debt relative to equity, showed fluctuations but remained relatively stable around the 1.5 mark. However, the ratio increased slightly in Q4 2023 to 1.93, indicating higher financial leverage compared to previous quarters.

Overall, the trend in solvency ratios for Merit Medical Systems, Inc. suggests an increasing reliance on debt financing to support the company's operations, which may raise concerns about the company's financial risk and ability to service its debt obligations in the long run.

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	8.23	9.73	11.14	13.79	14.03	14.74	15.77	12.72	11.25	8.71	5.34	1.17	-0.32	-2.08	-2.06	0.48	1.18	2.93	5.52	5.66

Merit Medical Systems, Inc.'s interest coverage ratio has shown a general decreasing trend over the past four quarters. The ratio was highest in Q2 2022 at 23.22, indicating that the company generated earnings before interest and taxes (EBIT) that were over 23 times its interest expenses during that period.

However, the interest coverage ratio has been gradually declining since then, reaching 9.76 in Q4 2023. This downward trend suggests that Merit Medical Systems may be becoming less able to cover its interest obligations from its operating income.

While the current interest coverage ratio of 9.76 is still considered healthy, indicating the company can cover its interest expenses almost 10 times over, investors and creditors may monitor this trend closely to ensure that Merit Medical Systems remains financially stable and able to meet its debt obligations in the future.