Quanta Services Inc (PWR)
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 | 0.00 | 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 | 0.20 | 0.19 | 0.18 |
| 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 | 0.32 | 0.29 | 0.27 |
| 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 | 0.46 | 0.40 | 0.36 |
| Financial leverage ratio | 2.59 | 2.54 | 2.58 | 2.55 | 2.50 | 2.56 | 2.55 | 2.53 | 2.51 | 2.31 | 1.94 | 1.96 | 1.93 | 2.01 | 2.07 | 2.17 | 2.06 | 2.27 | 2.13 | 2.06 |
The solvency ratios of Quanta Services, Inc. reflect its ability to meet its long-term financial obligations. Looking at the trends over the past eight quarters:
1. Debt-to-assets ratio has remained relatively stable around 0.26 to 0.29, indicating that, on average, about 26% to 29% of the company's assets are financed by debt.
2. Debt-to-capital ratio has also shown consistency around 0.40 to 0.43, suggesting that debt comprises approximately 40% to 43% of the company's total capital structure.
3. Debt-to-equity ratio has displayed a similar trend, hovering between 0.67 and 0.75, indicating that the company has been financing around 67% to 75% of its assets with debt relative to equity.
4. The financial leverage ratio has shown slight fluctuations between 2.50 and 2.59, implying that the company's assets are funded at a leverage ratio of around 2.50 to 2.59 times that of its equity.
Overall, Quanta Services, Inc. has maintained a stable solvency position over the quarters analyzed, with the ratios showing a consistent pattern and staying within reasonable ranges. This suggests that the company has been managing its long-term debt levels effectively and maintaining a healthy balance between debt and equity in its capital structure.
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 | 6.16 | 6.21 | 5.91 | 5.84 | 6.50 | 6.03 | 6.96 | 8.45 | 9.95 | 13.32 | 14.87 | 15.11 | 13.55 | 11.26 | 9.30 | 7.83 | 9.48 | 10.22 | 11.42 | 14.03 |
Quanta Services, Inc. has exhibited relatively consistent interest coverage ratios over the past eight quarters. The interest coverage ratios have ranged from 6.18 to 8.79, with the most recent ratio for Q4 2023 standing at 6.44. This indicates that the company's ability to meet its interest payment obligations has been stable but has shown a slight decline in the most recent quarter compared to previous periods.
Overall, Quanta Services, Inc. has maintained a satisfactory interest coverage level, which signifies that the company has generated sufficient operating income to cover its interest expenses comfortably. However, management may need to closely monitor any potential fluctuations in the company's operating performance to ensure that the interest coverage ratio remains at a healthy level and does not deteriorate significantly in the future.