Taylor Morn Home (TMHC)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.58 | 1.63 | 1.83 | 2.22 | 2.21 |
Based on the provided data, Taylor Morn Home has consistently maintained a strong solvency position over the years.
1. Debt-to-assets ratio: The ratio has stayed at 0.00 across all years, indicating that the company has no debt in relation to its total assets. This suggests a low financial risk and strong asset coverage.
2. Debt-to-capital ratio: Similarly, the debt-to-capital ratio has remained at 0.00 throughout the period, indicating that the company's debt level is very low compared to its total capital. This implies a conservative financial structure and minimal reliance on debt financing.
3. Debt-to-equity ratio: The debt-to-equity ratio has also remained at 0.00 for all years, showing that the company has no debt relative to its equity. This signifies a healthy balance between debt and equity financing and a low risk of financial distress.
4. Financial leverage ratio: The financial leverage ratio has trended downwards from 2.21 in 2020 to 1.58 in 2024. This indicates that the company's reliance on debt to finance its operations has decreased over the years, leading to a stronger financial position and lower financial risk.
Overall, Taylor Morn Home's solvency ratios reflect a stable and strong financial position with minimal debt levels and a conservative capital structure. The decreasing trend in the financial leverage ratio further demonstrates the company's efforts to strengthen its financial position and reduce financial risk.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 399.91 | 307.79 | 615.70 | 1,566.43 | — |
The interest coverage ratio for Taylor Morn Home shows a fluctuating trend over the years. It was not available for the year ending December 31, 2020. However, for the subsequent years, it increased significantly to 1,566.43 for the year ending December 31, 2021, indicating a strong capacity to cover interest payments.
Subsequently, the interest coverage ratio decreased to 615.70 for the year ending December 31, 2022, and further declined to 307.79 for the year ending December 31, 2023. This suggests that the company's ability to cover its interest payments reduced during these periods.
However, there was a slight improvement in the interest coverage ratio to 399.91 for the year ending December 31, 2024. Despite this increase, the ratio still remains below the peak level observed in 2021. Overall, it is essential for Taylor Morn Home to closely monitor and manage its interest coverage to ensure sustainable financial health.