Talos Energy (TALO)
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 | 2.24 | 2.27 | 2.33 | 2.34 | 2.23 | 2.31 | 2.33 | 2.33 | 2.62 | 2.44 | 3.19 | 4.04 | 3.64 | 4.13 | 4.16 | 3.52 | 3.06 | 2.47 | 2.45 | 2.32 |
Talos Energy 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 across the years from 2020 to 2024. This suggests that the company's level of debt relative to its assets, capital, and equity is negligible or effectively zero.
The financial leverage ratio, which measures the company's reliance on debt financing, shows fluctuations over the same period, ranging from a high of 4.16 in June 2021 to a low of 2.23 in December 2023. Despite some variability, the financial leverage ratio generally stays within a moderate range, indicating that Talos Energy has been managing its debt levels prudently.
Overall, the solvency ratios reflect a stable and well-managed financial structure, with a low level of debt relative to assets, capital, and equity. This suggests that Talos Energy has a solid financial foundation and is in a good position to meet its financial obligations.
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 | 0.59 | 0.95 | 0.31 | 0.38 | 1.49 | 1.65 | 3.53 | 5.03 | 4.17 | 4.90 | 2.68 | 0.30 | -0.09 | -4.20 | -5.08 | -6.10 | -3.25 | 0.15 | 1.70 | 4.66 |
The interest coverage ratio measures a company's ability to meet its interest payments on outstanding debt with its earnings. A higher ratio indicates a company is more capable of servicing its debt obligations.
Looking at the historical data for Talos Energy's interest coverage ratio, we observe fluctuations over time. In the most recent period, the interest coverage ratio has improved to 0.59 for December 31, 2024, indicating a slight increase in the company's ability to cover its interest expenses. This follows a trend of gradual improvement in the interest coverage ratio from negative values in the prior periods.
It is important to note that although the interest coverage has shown improvement recently, the ratio is still relatively low. Talos Energy may need to continue monitoring and managing its debt levels and earnings to ensure its ability to meet interest payments comfortably in the future.