Universal Display (OLED)
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 | 1.13 | 1.14 | 1.16 | 1.13 | 1.15 | 1.17 | 1.15 | 1.18 | 1.20 | 1.26 | 1.29 | 1.31 | 1.33 | 1.38 | 1.36 | 1.38 | 1.39 | 1.39 | 1.38 | 1.34 |
Universal Display has consistently maintained a strong solvency position based on its solvency ratios. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all been consistently at 0.00 over the years, indicating that the company has not relied heavily on debt to finance its assets or operations. This suggests a conservative capital structure and lower financial risk.
The financial leverage ratio has shown a decreasing trend from 1.34 in March 2020 to 1.13 in December 2024. This indicates that the company has been reducing its reliance on debt and improving its financial leverage position over time. A decreasing financial leverage ratio is generally seen as a positive indicator of a company's ability to meet its financial obligations.
Overall, Universal Display's solvency ratios paint a picture of a financially stable company with low debt levels and a strong ability to meet its financial obligations. Investors and stakeholders can find comfort in the company's solid solvency position.
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 | — | 38.32 | 35.35 | 37.47 | 17.34 | 24.11 | 20.94 | 18.15 | 34.19 | 53.84 | 112.93 | 501.73 | 1,422.41 | — | — | — | — | — | — | — |
Universal Display's interest coverage ratio, which measures the company's ability to cover its interest expenses with its earnings before interest and taxes (EBIT), has shown fluctuations in recent periods.
The interest coverage ratio was not calculable for the periods up to the end of 2021. However, from March 2022 onwards, the ratio started to improve significantly, reaching a peak of 1,422.41 by the end of December 2021. This indicates that the company's earnings were significantly higher than its interest expenses during this period, reflecting a strong ability to meet its interest obligations comfortably.
Subsequently, the interest coverage ratio declined but remained relatively healthy, indicating a continued ability to cover interest expenses comfortably. Even though the ratio decreased to 37.47 by the end of March 2024, it was still above 1, reflecting that Universal Display's earnings were more than sufficient to cover its interest costs.
Overall, Universal Display's interest coverage has demonstrated improvement and stability over the analysis period, suggesting that the company has been managing its interest obligations effectively with its operating income.