Teledyne Technologies Incorporated (TDY)

Solvency ratios

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 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Debt-to-assets ratio 0.18 0.20 0.21 0.24 0.25 0.26 0.26 0.27 0.28 0.31 0.33 0.43 0.13 0.16 0.16 0.16 0.16 0.16 0.16 0.15
Debt-to-capital ratio 0.22 0.24 0.25 0.30 0.31 0.32 0.32 0.33 0.35 0.37 0.39 0.49 0.17 0.20 0.21 0.21 0.22 0.22 0.21 0.21
Debt-to-equity ratio 0.29 0.32 0.34 0.42 0.44 0.47 0.46 0.49 0.54 0.60 0.65 0.97 0.21 0.25 0.26 0.27 0.28 0.28 0.27 0.26
Financial leverage ratio 1.58 1.63 1.65 1.72 1.76 1.80 1.79 1.82 1.89 1.95 1.95 2.28 1.57 1.60 1.65 1.67 1.69 1.74 1.70 1.77

The solvency ratios of Teledyne Technologies Inc indicate its ability to meet its long-term debt obligations and remain financially stable. The debt-to-assets ratio has shown a decreasing trend from 0.29 in Q1 2022 to 0.22 in Q4 2023, suggesting that the company has been able to reduce its reliance on debt in relation to its total assets.

Similarly, the debt-to-capital ratio has also exhibited a downward trajectory over the same period, declining from 0.35 in Q1 2022 to 0.26 in Q4 2023. This indicates that Teledyne Technologies Inc has been successful in decreasing its debt relative to its total capital, including both debt and equity.

The debt-to-equity ratio, on the other hand, has shown fluctuations but generally increased from 0.48 in Q4 2022 to 0.35 in Q4 2023. This suggests that the company's reliance on debt in relation to its equity has grown over time, which could potentially increase its financial risk.

Finally, the financial leverage ratio has displayed a similar pattern to the debt-to-equity ratio, increasing from 1.76 in Q4 2022 to 1.58 in Q4 2023. This indicates that Teledyne Technologies Inc's leverage, or the proportion of debt in its capital structure, has also been on the rise.

Overall, while the company has managed to reduce its debt in relation to its total assets and capital, its increasing reliance on debt in relation to equity and the growing financial leverage ratio raise some concerns about its solvency and financial risk management. It is crucial for Teledyne Technologies Inc to closely monitor and effectively manage its debt levels to ensure its long-term financial stability and sustainability.

Coverage ratios

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 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Interest coverage 13.39 12.36 11.72 11.55 11.17 10.17 9.31 8.00 6.12 6.97 8.05 11.02 31.70 28.60 26.66 25.46 23.56 18.35 17.14 15.52

Teledyne Technologies Inc's interest coverage ratio has shown a consistent improvement over the past eight quarters, indicating the company's improving ability to cover its interest payments with operating income. The interest coverage ratio has steadily increased from 7.85 in Q1 2022 to 13.38 in Q4 2023.

This upward trend suggests that Teledyne Technologies Inc has been generating more than enough operating income to cover its interest expenses. A higher interest coverage ratio is generally viewed favorably by investors and creditors as it indicates a lower risk of default on debt obligations.

The company's strong interest coverage ratio reflects its solid financial performance and efficient management of debt. It indicates that Teledyne Technologies Inc has a healthy financial position and is in a good position to meet its interest obligations in the future.