NewJersey Resources Corporation (NJR)

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	0.39	0.40	0.40	0.40	0.38	0.38	0.39	0.38	0.37	0.37	0.39	0.39	0.39	0.40	0.28	0.28	0.28	0.35	0.29	0.29
Debt-to-capital ratio	0.56	0.57	0.56	0.56	0.57	0.57	0.58	0.55	0.56	0.56	0.56	0.54	0.55	0.56	0.48	0.47	0.47	0.51	0.43	0.43
Debt-to-equity ratio	1.28	1.30	1.27	1.27	1.32	1.30	1.36	1.23	1.28	1.29	1.25	1.15	1.24	1.28	0.93	0.87	0.90	1.04	0.77	0.75
Financial leverage ratio	3.27	3.28	3.16	3.15	3.44	3.45	3.48	3.29	3.48	3.51	3.22	2.98	3.18	3.23	3.28	3.12	3.17	3.01	2.62	2.61

The solvency ratios of New Jersey Resources Corporation have shown relatively stable trends over the past eight quarters. The debt-to-assets ratio has consistently ranged between 0.45 and 0.49, indicating that the company finances approximately 45% to 49% of its assets with debt. This suggests a moderate level of leverage.

The debt-to-capital ratio has also remained relatively stable, fluctuating between 0.60 and 0.63. This ratio indicates that around 60% to 63% of the company's capital structure is funded by debt, while the remaining percentage represents equity financing.

The debt-to-equity ratio has shown more variability, ranging from 1.48 to 1.68 over the same period. This ratio reflects the proportion of debt and equity in the company's capital structure, with higher values suggesting higher levels of debt relative to equity.

Finally, the financial leverage ratio, which measures the company's overall leverage, has hovered between 3.15 and 3.48. A higher financial leverage ratio implies a higher degree of financial risk, as the company has more debt in relation to its equity.

Overall, New Jersey Resources Corporation seems to maintain a moderate level of leverage, with a relatively stable solvency position over the past eight quarters. It will be important to continue monitoring these ratios to ensure that the company's financial structure remains sustainable and balanced.

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	3.22	3.55	3.91	4.49	4.73	5.09	4.50	2.70	3.49	2.92	3.77	5.36	4.03	4.11	4.42	4.91	5.04	4.99	3.39	2.75

New Jersey Resources Corporation's interest coverage ratio has exhibited fluctuations over the past eight quarters. The interest coverage ratio, which indicates the company's ability to meet its interest obligations from its operating income, was highest in Q1 2023 at 4.83 and lowest in Q2 2022 at 2.39.

The trend shows a general decrease in the interest coverage ratio from Q1 2023 to Q2 2022 before experiencing an uptick in Q4 2022. This suggests that the company may have faced challenges in meeting its interest payments in the earlier quarters but managed to improve this metric by the end of the period.

Overall, the interest coverage ratio for New Jersey Resources Corporation has been above 1 in all the quarters, indicating that the company has been generating sufficient operating income to cover its interest expenses. However, the varying values over the quarters highlight the importance of monitoring the company's financial health and its ability to generate consistent earnings to cover its debt obligations.