Service Corporation International (SCI)

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 0.27 0.26 0.28 0.28 0.28 0.29 0.28 0.28 0.28 0.28 0.27 0.26 0.25 0.24 0.25 0.23 0.24 0.26 0.26 0.28
Debt-to-capital ratio 0.74 0.74 0.75 0.74 0.75 0.73 0.73 0.73 0.72 0.71 0.68 0.68 0.67 0.66 0.66 0.65 0.67 0.67 0.67 0.67
Debt-to-equity ratio 2.83 2.82 3.05 2.90 3.02 2.77 2.71 2.67 2.54 2.46 2.15 2.15 2.04 1.94 1.97 1.86 2.00 2.06 2.04 2.02
Financial leverage ratio 10.36 10.70 10.90 10.50 10.61 9.62 9.53 9.46 9.00 8.64 7.99 8.39 8.22 7.92 8.00 7.99 8.28 7.91 7.69 7.26

Service Corporation International's solvency ratios indicate the company's ability to meet its long-term debt obligations.

1. Debt-to-assets ratio has been relatively stable, averaging around 0.26 to 0.28 during the period under review. This ratio suggests that around 26-28% of the company's assets are financed by debt.

2. Debt-to-capital ratio shows a slight increasing trend over the years, ranging from 0.67 to 0.75, indicating a higher reliance on debt to fund the company's operations and investments.

3. Debt-to-equity ratio has shown some fluctuations but generally increased from 2.00 to 2.83, indicating an increase in debt relative to equity financing over the period.

4. Financial leverage ratio has exhibited an upward trajectory from 7.26 to 10.90, reflecting an increasing proportion of debt in the company's capital structure.

Overall, while the company's solvency ratios have shown some variations, the trend suggests a moderate increase in the company's reliance on debt financing to support its operations and growth initiatives. Investors and creditors may monitor these ratios to assess the company's financial risk and ability to manage its debt obligations effectively.

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 3.62 3.54 3.63 3.75 3.96 3.90 4.14 4.48 5.39 6.52 7.43 7.73 7.94 7.98 7.15 6.58 5.06 4.55 3.91 3.57

Service Corporation International has shown a fluctuating trend in its interest coverage ratio over the periods from March 31, 2020, to December 31, 2024. The interest coverage ratio represents the company's ability to cover its interest expenses with its operating income.

The interest coverage ratio has improved gradually from 3.57 as of March 31, 2020, to a peak of 7.98 as of September 30, 2021. This indicates the company's increased ability to meet its interest obligations with its operating income during this period.

However, the interest coverage ratio starts to decline from September 30, 2021, reaching 3.54 as of September 30, 2024. This downward trend suggests a potential decrease in the company's ability to cover its interest expenses with its operating income.

Overall, Service Corporation International has shown varying levels of ability to cover its interest expenses over the analyzed periods, with both improvements and declines in its interest coverage ratio. This trend highlights the importance of closely monitoring the company's financial performance and managing its debt obligations effectively.