O-I Glass Inc (OI)

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 0.49 0.49 0.48 0.47 0.48 0.50 0.50 0.52 0.54 0.55 0.56 0.59 0.56 0.60 0.64 0.64 0.57 0.58 0.58 0.57
Debt-to-capital ratio 0.74 0.80 0.79 0.80 0.76 0.84 0.77 0.80 0.87 0.91 0.92 0.96 0.94 0.99 1.03 1.00 0.92 1.02 0.92 0.88
Debt-to-equity ratio 2.92 4.00 3.73 3.94 3.08 5.35 3.41 4.03 6.60 10.44 12.32 23.49 16.65 132.38 — — 11.64 — 11.83 7.48
Financial leverage ratio 6.01 8.19 7.74 8.41 6.39 10.80 6.84 7.74 12.27 18.85 21.97 40.11 29.91 221.13 — — 20.58 — 20.35 13.05

O-I Glass Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has remained relatively stable around 0.48 to 0.55 over the past few quarters, suggesting that approximately 48% to 55% of the company's assets are financed by debt.

The debt-to-capital ratio has shown some fluctuations but generally hovers around 0.76 to 0.96, indicating that debt accounts for about 76% to 96% of the company's capital structure. This suggests a moderate level of leverage in the company's capitalization.

The debt-to-equity ratio has exhibited significant variability, ranging from 2.92 to 23.49 in recent quarters. This indicates that O-I Glass relies heavily on debt financing with respect to its equity, and the company's financial structure has been subject to significant changes in recent periods.

Lastly, the financial leverage ratio has also shown considerable fluctuations, with values ranging from 6.39 to 40.11. This reflects the high degree of financial risk associated with the company's capital structure, with high levels of debt relative to equity and total assets.

Overall, O-I Glass Inc's solvency ratios suggest a moderate to high level of leverage and financial risk, with fluctuations indicating potential changes in the company's long-term financial stability and ability to meet its debt obligations.

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 1.14 2.59 3.29 4.70 4.18 4.36 3.91 3.26 2.46 2.26 3.31 1.72 2.27 2.26 -0.59 -0.05 0.09 -0.23 2.40 2.30

Interest coverage is a financial ratio that measures a company's ability to meet its interest payments on outstanding debt. A higher interest coverage ratio indicates a company is more capable of servicing its debt.

Analyzing the interest coverage ratio of O-I Glass Inc over the past few quarters, we observe fluctuations in the company's ability to cover its interest expenses. The interest coverage ratio has ranged from a low of -0.59 in June 2020 to a high of 4.70 in March 2023. A ratio below 1 indicates that the company is not generating enough earnings to cover its interest payments, signaling financial distress.

In recent quarters, O-I Glass Inc's interest coverage has shown some improvement, with the ratio trending upwards from below 1 to above 4. This suggests an enhanced ability to meet interest obligations from operating income. However, it is important to monitor this ratio closely to ensure the company's financial sustainability and debt repayment capacity over the long term.