MasTec Inc (MTZ)
Solvency ratios
| Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 3.00 | 3.12 | 3.20 | 3.27 | 3.61 | 3.51 | 3.47 | 3.42 | 3.40 | 2.94 | 2.98 | 2.83 | 2.80 | 2.65 | 2.73 | 2.66 | 2.61 | 2.77 | 2.86 | 2.90 |
MasTec Inc's solvency ratios, as reflected in its financial statements data, indicate a strong financial position with low levels of debt relative to its assets, capital, and equity.
The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have consistently remained at 0.00 over the years, suggesting that the company has minimal debt obligations in relation to its total assets, capital, and equity. This indicates a low financial risk associated with debt repayment.
The Financial leverage ratio, which measures the company's ability to meet its financial obligations through debt financing, has shown some fluctuations over the years but remains relatively stable. The ratio was at 2.90 in March 31, 2020, and peaked at 3.61 in December 31, 2023, before declining to 3.00 by December 31, 2024. Despite the variations, the overall trend indicates that MasTec Inc has maintained a reasonable level of financial leverage.
Overall, based on the solvency ratios examined, MasTec Inc appears to have a healthy balance sheet with low debt levels and a manageable financial risk, which bodes well for its long-term financial stability and ability to weather economic challenges.
Coverage ratios
| Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 2.27 | 1.71 | 1.15 | 0.96 | 0.65 | 0.69 | 0.83 | 0.77 | 1.38 | 2.60 | 4.23 | 6.03 | 9.05 | 10.17 | 10.41 | 9.79 | 8.13 | 7.13 | 6.86 | 7.86 |
MasTec Inc's interest coverage ratio has shown fluctuations over the specified period. The interest coverage ratio, which measures the company's ability to meet its interest obligations from its earnings before interest and taxes (EBIT), was relatively steady around 7-8 from March 2020 to December 2021, indicating a comfortable ability to meet its interest expenses.
However, there was a notable increase in the interest coverage ratio from March 2021 to September 2021, reaching levels above 10, suggesting a stronger ability to cover interest payments during this period.
Subsequently, from March 2022 onwards, the interest coverage ratio experienced a significant decline, falling sharply to below 1 by December 2024. This downward trend indicates a potential strain on MasTec Inc's ability to cover its interest expenses with its operating income. It's important to further investigate the reasons behind this decline and assess the company's financial health and risk exposure associated with its debt obligations.