Sarepta Therapeutics Inc (SRPT)
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 | 2.59 | 2.95 | 3.18 | 3.35 | 3.80 | 4.07 | 4.22 | 4.29 | 8.13 | 7.33 | 4.13 | 3.57 | 3.39 | 5.67 | 5.69 | 5.16 | 3.92 | 3.12 | 2.76 | 2.57 |
Sarepta Therapeutics Inc has consistently maintained a strong solvency position, as indicated by its low debt-to-assets, debt-to-capital, and debt-to-equity ratios, all of which have remained at 0.00 over the past few years. This suggests that the company's level of debt is very low relative to its assets, capital, and equity, reflecting a minimal financial risk.
The financial leverage ratio, which measures the extent to which the company relies on debt financing, has shown some fluctuations over the years but generally remains at a moderate level. The ratio peaked at 8.13 in December 31, 2022, suggesting a higher degree of financial leverage at that point. However, this ratio has since decreased and stabilized below that peak level by the end of December 31, 2024, indicating a reduction in the company's reliance on debt for financing its operations.
Overall, Sarepta Therapeutics Inc's solvency ratios demonstrate a solid financial position with low debt levels and moderate financial leverage, indicating a healthy balance between debt and equity in the company's capital 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 | 14.14 | 6.76 | 2.82 | 2.33 | -22.98 | -27.53 | -25.84 | -24.09 | -11.96 | -10.35 | -6.86 | -4.59 | -5.60 | -6.27 | -8.86 | -10.33 | -8.18 | -11.11 | -11.22 | -16.66 |
The interest coverage ratio measures a company's ability to meet its interest obligations with its operating income. A higher ratio indicates a stronger ability to cover interest expenses.
Looking at the trend in Sarepta Therapeutics Inc's interest coverage ratio from March 31, 2020, to December 31, 2024, we observe a significant decline in the ratio initially, with negative values indicating the company was not generating enough operating income to cover its interest expenses. The ratio hit its lowest point at -27.53 on September 30, 2023. This indicates that the company was facing challenges in meeting its interest obligations with its current level of operating income.
However, from March 31, 2024, onwards, the interest coverage ratio started to improve, turning positive and indicating that the company's operating income was finally sufficient to cover its interest expenses. The ratio increased steadily, reaching 14.14 on December 31, 2024, the highest point in the data series.
This improvement in the interest coverage ratio from negative values to a strong positive value suggests that Sarepta Therapeutics Inc has managed to enhance its earnings potential and financial performance, indicating a healthier financial position and better ability to meet its debt obligations through operating income.