Robert Half International Inc (RHI)
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 | 2.07 | 2.02 | 1.98 | 1.90 | 1.90 | 1.91 | 1.89 | 1.82 | 1.89 | 1.95 | 2.00 | 2.03 | 2.14 | 2.23 | 2.18 | 2.14 | 2.12 | 2.15 | 2.08 | 2.01 |
The solvency ratios of Robert Half International Inc indicate a strong financial position with consistently low levels of debt relative to its assets, capital, and equity over the reporting periods from March 31, 2020, to December 31, 2024.
The Debt-to-assets ratio remained at 0.00 throughout the period, indicating that the company's assets were not financed by debt during this time frame. This suggests a low risk of insolvency as the company has a significant portion of its assets funded by equity.
Similarly, the Debt-to-capital ratio also stayed at 0.00, reflecting that Robert Half International Inc did not rely on debt to fund its capital structure. This demonstrates a conservative approach to capital management, reducing the financial risk associated with high debt levels.
The Debt-to-equity ratio remained stable at 0.00 throughout the period, indicating that the company's equity was sufficient to cover its total debt obligations. This implies that creditors have a lower stake in the company's operations, which is favorable for shareholders.
The Financial leverage ratio, which measures the company's financial leverage or the extent to which it relies on debt financing, decreased steadily from 2.01 on March 31, 2020, to 2.07 on December 31, 2024. This downward trend indicates a reduction in the company's financial risk and dependence on debt financing over time, strengthening its solvency position.
Overall, the solvency ratios of Robert Half International Inc demonstrate a prudent and conservative financial strategy, with a strong ability to meet its financial obligations and maintain a healthy balance sheet structure.
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 | — | 6.40 | 5.70 | 6.02 | 4.01 | 7.78 | 10.44 | 12.60 | 137.87 | 34.81 | 35.77 | 35.15 | 32.24 | 350.51 | 1,231.85 | 1,023.78 | 10.35 | 10.59 | 11.74 | 13.79 |
Interest coverage ratio measures the company's ability to meet its interest obligations with its operating income. A higher interest coverage ratio indicates a greater capacity to cover interest expenses.
Analyzing the interest coverage ratio of Robert Half International Inc:
- The interest coverage ratio was strong and stable throughout 2020, ranging from 10.35 to 13.79, indicating robust operational income to cover interest expenses.
- In the first half of 2021, the interest coverage ratio surged significantly, reaching extraordinary levels of 1,023.78 and 1,231.85, suggesting a vast increase in operational income relative to interest obligations.
- However, in the subsequent quarters of 2021, the interest coverage ratio declined substantially, although remaining above 350, which may indicate a decrease in operational income or an increase in interest expenses.
- Throughout 2022, the interest coverage ratio remained relatively stable around 35, indicating a significant decline from the exceptional levels seen in early 2021.
- The interest coverage ratio continued to decrease gradually in 2023, dropping to single digits by the end of the year, suggesting a potential strain on the company's ability to cover interest expenses with operating income.
- By the end of 2024, the interest coverage ratio was not available, indicating a lack of data.
In conclusion, the interest coverage ratio of Robert Half International Inc has shown fluctuations over the years, with a notable peak in early 2021 followed by a gradual decline. Monitoring this ratio is crucial to assess the company's financial health and its ability to manage interest payments effectively.