Thermo Fisher Scientific Inc (TMO)
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 | 1.96 | 2.05 | 2.08 | 2.13 | 2.11 | 2.14 | 2.15 | 2.24 | 2.21 | 2.08 | 2.14 | 2.26 | 2.33 | 1.90 | 1.84 | 1.88 | 2.00 | 2.01 | 2.06 | 2.05 |
Thermo Fisher Scientific Inc has consistently maintained a strong solvency position based on its solvency ratios. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all remained at 0.00 over the reporting periods, indicating that the company has no significant debt obligations in relation to its total assets, capital, or equity.
The Financial leverage ratio, which measures the proportion of a company's assets that are financed with debt, has fluctuated slightly but remained relatively stable within a range of 1.84 to 2.33 over the periods analyzed. This indicates that Thermo Fisher Scientific is utilizing a moderate level of leverage to finance its operations, maintaining a healthy balance between debt and equity in its capital structure.
Overall, Thermo Fisher Scientific's solvency ratios suggest a conservative approach to managing its financial obligations, with a minimal reliance on debt financing. This solid solvency position is indicative of the company's strong financial stability and ability to meet its long-term financial commitments.
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 | 6.00 | 5.54 | 5.38 | 5.21 | 5.45 | 5.98 | 6.81 | 8.39 | 11.81 | 15.04 | 17.26 | 18.52 | 19.38 | 20.57 | 20.17 | 18.14 | 14.23 | 11.03 | 8.10 | 6.95 |
Thermo Fisher Scientific Inc's interest coverage ratio has shown a generally positive trend from March 31, 2020, to June 30, 2021. The ratio improved from 6.95 to 20.17 during this period, indicating the company's ability to comfortably cover its interest payments with its earnings. However, from September 30, 2021, the interest coverage ratio started to decline gradually. Despite remaining above 15 for the next few quarters, there was a noticeable decrease by December 31, 2023, when the ratio dropped to 5.45. This indicates that the company's ability to cover its interest expense has decreased significantly.
Though the interest coverage ratio slightly improved in the following quarters, it remained relatively low, reaching 6.00 by December 31, 2024. A declining trend in the interest coverage ratio can signify potential financial distress or an increased risk of default on debt obligations. Thermo Fisher Scientific Inc may need to monitor and manage its debt levels and interest payments closely to ensure its financial stability and sustainability in the long term.
See also:
Thermo Fisher Scientific Inc Solvency Ratios (Quarterly Data)