Thryv Holdings Inc (THRY)
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 | 0.00 | 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 |
| 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 |
| Financial leverage ratio | 5.13 | 2.62 | 2.72 | 2.97 | 3.08 | 3.06 | 3.21 | 3.84 | 4.13 | 4.52 | 5.24 | 6.74 | 6.17 | 32.94 | — | 39.94 | 50.93 | — | — | 6.24 |
Thryv Holdings Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has shown a slight upward trend, from 0.37 in Q3 2023 to 0.45 in Q4 2023, indicating that 45% of the company's assets are financed by debt in the latest quarter.
The debt-to-capital ratio has fluctuated over the quarters, with a significant increase in Q4 2023 to 0.70, compared to 0.49 in Q3 2023. This suggests that 70% of the company's capital is funded by debt in the latest quarter.
The debt-to-equity ratio has also exhibited variability, spiking to 2.28 in Q4 2023 from 0.96 in Q3 2023, indicating that debt is 2.28 times the size of the equity in the latest quarter. This implies a higher use of debt to fund the company's operations.
Moreover, the financial leverage ratio has shown an increasing trend, reaching 5.13 in Q4 2023, up from 2.62 in Q3 2023. A higher financial leverage ratio indicates that the company relies more on debt to finance its operations, potentially increasing financial risk.
Overall, the increasing trends in these solvency ratios suggest that Thryv Holdings Inc's financial risk has been escalating, as the company takes on more debt relative to its assets, capital, equity, and leverage over the quarters. This heightened leverage could potentially impact the company's ability to withstand financial challenges in the long run. It is important for investors and stakeholders to closely monitor these solvency ratios to assess the company's ability to manage its debt levels effectively.
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 | 0.93 | 1.19 | 2.24 | 3.18 | 3.61 | 2.71 | 3.20 | 2.55 | 2.70 | 2.97 | 1.89 | 2.13 | 1.96 | 1.50 | 2.12 | 1.85 | 1.64 | 2.46 | 2.45 | 2.25 |
Thryv Holdings Inc's interest coverage has shown fluctuations over the past eight quarters. The interest coverage ratio measures the company's ability to meet its interest obligations on outstanding debt. A higher ratio indicates that the company is more capable of meeting its interest payments.
In Q1 2023 and Q2 2023, the interest coverage ratio was relatively strong at 2.91 and 2.01 respectively, indicating that the company's earnings were more than sufficient to cover its interest expenses. However, in Q3 2023 and Q4 2023, the interest coverage ratio declined to 1.20 and 1.12 respectively, suggesting that the company's earnings may have been less able to cover its interest payments in those quarters.
Comparing the most recent data to the same quarter in the previous year, we see a decline in interest coverage from 3.34 in Q4 2022 to 1.12 in Q4 2023. This significant decrease may raise concerns about Thryv Holdings Inc's ability to meet its interest obligations in the most recent quarter.
Overall, it is essential for investors and stakeholders to monitor Thryv Holdings Inc's interest coverage ratio closely, as it provides insights into the company's financial health and its ability to manage debt obligations.