TG Therapeutics Inc (TGTX)
Solvency ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.30 | 0.37 | 0.18 | 0.01 | 0.18 |
| Debt-to-capital ratio | 0.38 | 0.55 | 0.22 | 0.01 | 0.43 |
| Debt-to-equity ratio | 0.62 | 1.21 | 0.28 | 0.01 | 0.75 |
| Financial leverage ratio | 2.05 | 3.30 | 1.60 | 1.20 | 4.22 |
The solvency ratios of TG Therapeutics Inc indicate the company's ability to meet its long-term financial obligations and effectively manage its debt levels over the years.
The debt-to-assets ratio measures the proportion of the company's assets financed by debt. TG Therapeutics Inc effectively decreased its reliance on debt to finance its assets from 2019 to 2023, with the ratio declining from 0.18 to 0.30. This suggests a more conservative approach to debt management.
The debt-to-capital ratio reflects the proportion of the company's capital structure funded by debt. TG Therapeutics Inc showed a fluctuating trend in this ratio, with significant increases in 2020 and 2022 followed by decreases in 2023. The company reduced its debt reliance in 2023 compared to previous years.
The debt-to-equity ratio compares a company's total debt to its total equity. TG Therapeutics Inc demonstrated fluctuations in this ratio, with a sharp increase in 2022 and a subsequent decrease in 2023. The company's debt levels in relation to equity improved in 2023, indicating a stronger financial position.
The financial leverage ratio measures the extent to which a company utilizes debt to finance its operations. TG Therapeutics Inc experienced fluctuations in this ratio, with a notable reduction in 2023 compared to previous years. The decrease suggests a lower reliance on debt to support business activities, enhancing the company's financial stability.
Overall, TG Therapeutics Inc has shown an improved solvency position by effectively managing its debt levels and enhancing its financial stability over the years. The decreasing trends in key solvency ratios signal a more prudent approach to debt management, potentially reducing financial risk and increasing investor confidence.
Coverage ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 2.04 | -18.92 | -61.15 | -43.23 | -31.70 |
TG Therapeutics Inc's interest coverage ratio has fluctuated significantly over the past five years. In 2023, the interest coverage ratio improved to 2.04, indicating that the company's ability to meet its interest obligations from its operating income has strengthened compared to the previous year. However, it is important to note that the ratio was negative in both 2022 and 2021, implying that the company's operating income was insufficient to cover its interest expenses during those years. This raises concerns about the company's financial stability and ability to service its debt obligations. The substantial negative ratios in 2022, 2021, 2020, and 2019 suggest that the company may have faced significant challenges in generating enough operating income to cover its interest expenses during those years, raising questions about its financial health and sustainability.