Universal Display (OLED)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.13 | 1.15 | 1.20 | 1.33 | 1.39 |
Universal Display has consistently maintained a very strong solvency position over the years, as evidenced by its low debt-to-assets, debt-to-capital, and debt-to-equity ratios, all of which have remained at 0.00 from 2020 to 2024. This indicates that the company has minimal reliance on debt to finance its operations and suggests a strong financial stability.
Additionally, the financial leverage ratio, which provides a broader view of the company's capital structure and risk, has shown a decreasing trend from 1.39 in 2020 to 1.13 in 2024. This indicates a decreasing reliance on debt in funding its assets and operations relative to its equity, further strengthening the company's financial stability and ability to meet its debt obligations. Overall, Universal Display appears to have a very solid solvency position with a conservative debt structure, which is a positive signal for investors and creditors.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | — | — | 34.20 | 377.52 | 26.24 |
Universal Display's interest coverage ratio has shown significant fluctuations over the years. In December 2020, the company had an interest coverage ratio of 26.24, indicating that it could cover its interest expenses approximately 26 times over. This ratio improved substantially by December 2021, reaching a high of 377.52, suggesting a significant increase in the company's ability to service its interest obligations.
However, in December 2022, the interest coverage ratio dropped to 34.20, indicating a decline in the company's ability to cover its interest payments compared to the previous year. It is worth noting that the ratio for December 2023 and 2024 is not available (denoted as "—"), which could imply that the company may have experienced challenges in providing sufficient coverage for its interest expenses in those years.
Overall, although Universal Display's interest coverage ratios have displayed variability, the company has demonstrated strong ability to manage its interest obligations based on the available data.