Dave & Buster’s Entertainment (PLAY)

Solvency ratios

Feb 4, 2024 Oct 29, 2023 Jul 30, 2023 Apr 30, 2023 Jan 29, 2023 Oct 30, 2022 Jul 31, 2022 May 1, 2022 Jan 30, 2022 Oct 31, 2021 Aug 1, 2021 May 2, 2021 Jan 31, 2021 Nov 1, 2020 Aug 2, 2020 May 3, 2020 Feb 2, 2020 Nov 3, 2019 Aug 4, 2019 May 5, 2019
Debt-to-assets ratio 0.34 0.35 0.34 0.33 0.33 0.33 0.33 0.18 0.18 0.21 0.23 0.23 0.25 0.24 0.28 0.29 0.27 0.28 0.25 0.20
Debt-to-capital ratio 0.84 0.86 0.80 0.77 0.75 0.77 0.77 0.55 0.61 0.66 0.70 0.75 0.80 0.73 0.75 0.79 0.79 0.81 0.69 0.54
Debt-to-equity ratio 5.11 6.06 4.07 3.39 2.98 3.39 3.42 1.23 1.57 1.97 2.34 3.01 3.89 2.72 2.92 3.82 3.73 4.32 2.21 1.19
Financial leverage ratio 14.95 17.48 11.86 10.27 9.16 10.21 10.24 6.94 8.51 9.53 10.37 12.98 15.35 11.53 10.46 13.31 13.97 15.52 8.96 6.01

The solvency ratios of Dave & Buster’s Entertainment suggest a relatively stable financial position overall. The debt-to-assets ratio has ranged between 0.33 and 0.35 over the periods analyzed, indicating that around one-third of the company's assets are financed by debt. This implies that the company has a reasonable level of leverage.

The debt-to-capital ratio has shown a downward trend, decreasing from 0.86 to 0.75, which means that the proportion of debt in the company's capital structure has been decreasing. This could be a positive sign, as it shows a move towards a more balanced mix of debt and equity financing.

The debt-to-equity ratio has fluctuated but remains relatively high, indicating that the company relies more on debt financing compared to equity. However, the downward trend in recent periods from 6.06 to 2.21 suggests an improvement in the company's ability to meet its long-term obligations through equity financing.

The financial leverage ratio has also shown a decreasing trend, indicating a reduction in financial risk and a more conservative capital structure. This trend suggests that the company has been managing its debt levels and leverage more effectively over time.

Overall, while the company carries a significant amount of debt, the decreasing trends in debt-to-capital and financial leverage ratios indicate an improving solvency position for Dave & Buster’s Entertainment. Continued monitoring of these ratios will be essential to ensure the company maintains a healthy balance between debt and equity financing.

Coverage ratios

Feb 4, 2024 Oct 29, 2023 Jul 30, 2023 Apr 30, 2023 Jan 29, 2023 Oct 30, 2022 Jul 31, 2022 May 1, 2022 Jan 30, 2022 Oct 31, 2021 Aug 1, 2021 May 2, 2021 Jan 31, 2021 Nov 1, 2020 Aug 2, 2020 May 3, 2020 Feb 2, 2020 Nov 3, 2019 Aug 4, 2019 May 5, 2019
Interest coverage 2.41 2.39 2.50 2.67 3.00 3.37 4.20 4.93 3.47 1.54 0.10 -3.40 -6.87 -5.65 -3.71 1.26 7.07 8.20 10.23 11.19

Dave & Buster’s Entertainment interest coverage ratio has shown fluctuation over the past few periods, indicating the company's ability to meet its interest payment obligations from its operating income. The interest coverage ratio ranged from a low of -6.87 to a high of 11.19 over the periods analyzed.

From a positive perspective, the interest coverage ratio was generally above 1.0, indicating that the company's operating income was sufficient to cover its interest expenses. This suggests that Dave & Buster’s was able to comfortably meet its interest obligations with its earnings during most periods.

However, there were periods where the interest coverage ratio dropped significantly, such as in August 2021 and May 2021 when it fell to 0.10 and -3.40, respectively. These lower ratios may indicate potential financial distress or the company's struggle to generate enough income to cover its interest payments during those periods.

Overall, while Dave & Buster’s generally maintained a positive interest coverage ratio, the fluctuations in the ratio highlight the importance of monitoring the company's ability to service its debt obligations consistently.