Insperity Inc (NSP)

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 0.14 0.19 0.18 0.17 0.17 0.19 0.20 0.18 0.18 0.21 0.20 0.19 0.21 0.21 0.21 0.21 0.23 0.24 0.24 0.24
Debt-to-capital ratio 0.79 0.75 0.72 0.72 0.80 0.82 0.74 0.74 0.82 0.86 0.91 0.92 1.00 0.79 0.81 0.83 0.89 0.90 0.89 1.01
Debt-to-equity ratio 3.80 2.95 2.60 2.64 3.93 4.45 2.82 2.78 4.56 6.11 10.51 10.88 — 3.81 4.23 5.02 8.37 9.09 8.28 —
Financial leverage ratio 26.77 15.46 14.75 15.19 22.55 24.05 14.24 15.34 25.18 29.44 53.88 57.13 — 17.88 19.80 24.02 35.90 37.48 34.00 —

The solvency ratios of Insperity Inc indicate the company's ability to meet its long-term debt obligations.

1. Debt-to-assets ratio: This ratio remained relatively stable around 0.20 over the observed periods, indicating that the company has been effectively managing its debt levels in relation to its total assets. A decreasing trend in this ratio suggests a lower reliance on debt financing to support its asset base.

2. Debt-to-capital ratio: The debt-to-capital ratio fluctuated between 0.70 and 1.00 during the monitored periods. A decreasing trend in this ratio indicates that the company is reducing its reliance on debt in relation to its total capital, which is a positive sign of financial health.

3. Debt-to-equity ratio: The debt-to-equity ratio showed fluctuations over time, ranging from 2.60 to 10.88. A decreasing trend in this ratio indicates that the company is decreasing its dependency on debt financing in relation to equity, which is typically considered favorable by investors and creditors.

4. Financial leverage ratio: The financial leverage ratio varied significantly but generally showed a decreasing trend over time, ranging from 14.24 to 57.13. A declining financial leverage ratio suggests that the company is reducing its reliance on debt to finance its operations, which may lower the financial risk associated with high levels of debt.

Overall, the solvency ratios of Insperity Inc demonstrate a prudent approach to managing its debt levels and capital structure, which could enhance its long-term financial stability and ability to meet its debt obligations.

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 5.50 6.78 8.82 8.53 9.27 10.87 11.75 15.91 18.27 20.55 23.83 24.40 23.57 23.32 22.52 26.82 24.61 25.72 25.54 23.50

Insperity Inc's interest coverage ratio has shown a steady decline from March 31, 2020, where it was 23.50, to December 31, 2024, where it decreased to 5.50. The interest coverage ratio indicates the company's ability to cover its interest expenses with its operating income.

A higher interest coverage ratio is generally preferred as it signifies that the company is more capable of meeting its interest obligations. In this case, the decreasing trend in Insperity Inc's interest coverage ratio could indicate a potential concern regarding the company's ability to cover its interest expenses in the future.

It would be advisable for stakeholders to closely monitor this trend and evaluate the company's financial health and ability to manage its debt obligations effectively.