Oshkosh Corporation (OSK)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Dec 31, 2022 | Sep 30, 2022 | |
|---|---|---|---|---|---|
| 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 | 2.27 | 2.46 | 2.46 | 2.43 | 2.43 |
Oshkosh Corporation's solvency ratios indicate a strong financial position with minimal debt relative to its assets, capital, and equity over the reported periods. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have consistently shown values of 0.00, suggesting the company operates with no significant debt burden in relation to its total assets, capital structure, or shareholders' equity.
Furthermore, the Financial leverage ratio, which measures the extent to which the company relies on debt financing, has exhibited a decreasing trend from 2.43 in September 2022 to 2.27 in December 2024. This indicates that Oshkosh Corporation has been effectively managing its leverage by reducing its reliance on debt to finance its operations and investments.
Overall, the solvency ratios of Oshkosh Corporation reflect a conservative financial strategy with a prudent level of debt, which contributes to its stable financial position and ability to withstand economic challenges or fluctuations in the market.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Dec 31, 2022 | Sep 30, 2022 | |
|---|---|---|---|---|---|
| Interest coverage | 8.56 | 12.30 | 0.00 | 6.97 | 6.97 |
Interest coverage ratio is a key financial metric used to assess a company's ability to pay its interest expenses on its outstanding debt. It is calculated by dividing a company's earnings before interest and taxes (EBIT) by its interest expense for a given period.
Looking at the interest coverage ratios of Oshkosh Corporation based on the provided data:
- As of September 30, 2022, the interest coverage ratio was 6.97, indicating that Oshkosh had nearly 7 times earnings to cover its interest expenses.
- On December 31, 2022, the interest coverage ratio remained the same at 6.97.
- By September 30, 2023, the interest coverage ratio dropped to 0.00, indicating that Oshkosh's earnings were not sufficient to cover its interest expenses during this period.
- However, by December 31, 2023, the interest coverage ratio increased significantly to 12.30, showing a strong improvement in Oshkosh's ability to cover its interest obligations.
- Lastly, as of December 31, 2024, the interest coverage ratio was 8.56, reflecting a healthy coverage of interest expenses.
Overall, fluctuations in the interest coverage ratio of Oshkosh Corporation suggest varying levels of financial health and ability to meet its interest obligations over the respective periods. It is crucial for investors and stakeholders to monitor these ratios to gauge the company's financial stability and risk management.