MSC Industrial Direct Company Inc (MSM)
Solvency ratios
| Aug 31, 2024 | Jun 1, 2024 | Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Sep 3, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.11 | 0.00 | 0.00 | 0.00 | 0.09 | 0.00 | 0.00 | 0.17 | 0.17 | 0.21 | 0.23 | 0.22 | 0.24 | 0.14 | 0.20 | 0.00 | 0.21 | 0.25 | 0.11 | 0.11 |
| Debt-to-capital ratio | 0.17 | 0.00 | 0.00 | 0.00 | 0.13 | 0.00 | 0.00 | 0.25 | 0.26 | 0.29 | 0.32 | 0.32 | 0.34 | 0.23 | 0.29 | 0.00 | 0.27 | 0.34 | 0.17 | 0.15 |
| Debt-to-equity ratio | 0.20 | 0.00 | 0.00 | 0.00 | 0.15 | 0.00 | 0.00 | 0.33 | 0.35 | 0.42 | 0.48 | 0.47 | 0.51 | 0.30 | 0.41 | 0.00 | 0.38 | 0.51 | 0.21 | 0.17 |
| Financial leverage ratio | 1.77 | 1.76 | 1.80 | 1.80 | 1.72 | 1.70 | 1.78 | 1.98 | 2.02 | 2.02 | 2.10 | 2.11 | 2.14 | 2.12 | 2.07 | 2.03 | 1.81 | 2.09 | 1.89 | 1.55 |
The solvency ratios of MSC Industrial Direct Company Inc provide insights into the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has shown fluctuation over time, ranging from 0.00 to 0.25, with the most recent value at 0.11 as of August 31, 2024. This indicates that the company has a relatively low level of debt compared to its total assets.
The debt-to-capital ratio has also varied, between 0.00 and 0.34, with the latest value at 0.17 as of August 31, 2024. This ratio signifies the proportion of the company's capital that is financed through debt, with the current level suggesting a moderate reliance on debt for funding.
The debt-to-equity ratio has shown a similar trend, fluctuating between 0.00 and 0.51, with the most recent figure at 0.21 as of August 31, 2024. This ratio indicates the extent to which the company's operations are funded by debt compared to equity, with the current level suggesting a balanced capital structure with a relatively low reliance on debt financing.
Lastly, the financial leverage ratio has ranged from 1.55 to 2.14, with the latest value at 1.89 as of August 31, 2024. This ratio reflects the company's use of debt to support its operations and investments, with the current level indicating a moderate level of financial leverage.
Overall, the solvency ratios of MSC Industrial Direct Company Inc demonstrate a prudent approach to managing its long-term financial obligations, with a balanced mix of debt and equity financing to support its operations.
Coverage ratios
| Aug 31, 2024 | Jun 1, 2024 | Mar 2, 2024 | Dec 2, 2023 | Sep 2, 2023 | Jun 3, 2023 | Mar 4, 2023 | Dec 3, 2022 | Sep 3, 2022 | May 28, 2022 | Feb 26, 2022 | Nov 27, 2021 | Aug 28, 2021 | May 29, 2021 | Feb 27, 2021 | Nov 28, 2020 | Aug 29, 2020 | May 30, 2020 | Feb 29, 2020 | Nov 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 14.81 | 17.29 | 19.88 | 22.00 | 21.24 | 21.00 | 21.95 | 23.70 | 26.59 | 26.79 | 27.29 | 22.70 | 20.80 | 18.73 | 15.60 | 18.63 | 21.01 | 23.18 | 24.67 | 24.20 |
The interest coverage ratio for MSC Industrial Direct Company Inc has shown a positive trend over the past few periods, indicating the company's ability to meet its interest obligations comfortably. The ratio has consistently improved from 14.81 in August 2024 to 24.20 in February 2020 before slightly decreasing to 22.00 in March 2024.
The company's interest coverage has ranged between 15.60 to 27.29, with an average of approximately 21.27 over the period analyzed. This suggests that MSC Industrial Direct Company Inc has generated sufficient earnings to cover its interest expenses, indicating a lower risk of default on its debt obligations.
Furthermore, the steady increase in the interest coverage ratio demonstrates the company's improving financial health and potential for continued stability in meeting its interest payments. The management's ability to generate earnings to cover interest costs bodes well for the company's overall financial performance and sustainability.