Schneider National Inc (SNDR)
Solvency ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.04 | 0.03 | 0.00 | 0.00 | 0.08 |
| Debt-to-capital ratio | 0.06 | 0.05 | 0.00 | 0.00 | 0.12 |
| Debt-to-equity ratio | 0.06 | 0.05 | 0.00 | 0.00 | 0.14 |
| Financial leverage ratio | 1.54 | 1.52 | 1.62 | 1.71 | 1.64 |
Schneider National Inc's solvency ratios indicate a consistently strong financial position over the past five years. The debt-to-assets ratio has shown a slight increase from 0.00 in 2021 to 0.04 in 2023, which suggests that the company has a low level of debt relative to its total assets.
Similarly, the debt-to-capital and debt-to-equity ratios have remained low and stable at around 0.06, indicating that Schneider National relies less on debt financing and maintains a healthy capital structure.
The financial leverage ratio has fluctuated slightly but remained within a reasonable range, with a slight decrease from 1.71 in 2020 to 1.54 in 2023. This ratio shows the proportion of the company's assets that are financed through debt, and the downward trend indicates a reduction in the reliance on debt financing over the years.
Overall, Schneider National Inc's solvency ratios suggest that the company has a strong financial position, with low debt levels and a solid capital structure, which bodes well for its long-term solvency and ability to meet its financial obligations.
Coverage ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 22.56 | 63.92 | 44.36 | 21.80 | 12.93 |
Schneider National Inc's interest coverage ratio has exhibited a positive trend over the past five years, indicating the company's improving ability to meet its interest obligations from its operating income. The interest coverage ratio was highest in 2022 at 63.92, reflecting a significant increase from the previous year. This suggests that Schneider National Inc had comfortable earnings to cover its interest expenses, providing a considerable margin of safety.
Although there was a slight decrease in the interest coverage ratio in 2023 to 22.56, this value remains substantially higher than the industry average and indicates that Schneider National Inc still has a strong ability to meet its interest payments. The overall trend of increasing interest coverage ratios indicates the company's improving financial health and decreasing financial risk related to its debt obligations. Investors and creditors may view Schneider National Inc's interest coverage ratio positively as it demonstrates financial stability and the company's ability to manage debt effectively.