Travel + Leisure Co (TNL)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Debt-to-equity ratio | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Financial leverage ratio | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
The solvency ratios of Travel + Leisure Co indicate a consistently low level of debt compared to its assets, with a debt-to-assets ratio of 0.00 across all reported periods. This suggests that the company has a strong financial position and a low reliance on debt to finance its operations.
The debt-to-capital ratio, debt-to-equity ratio, and financial leverage ratio were not provided in the data, indicating a lack of information on the company's capital structure and leverage levels. Without this data, a comprehensive analysis of the company's solvency from these perspectives is not possible.
In conclusion, Travel + Leisure Co appears to have a solid solvency position based on its low debt-to-assets ratio, but further insights into its capital structure and leverage would be necessary to provide a more comprehensive assessment of its overall solvency.
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 | 3.10 | 2.97 | 3.05 | 2.93 | 2.96 | 3.06 | 3.27 | 3.44 | 3.52 | 3.67 | 3.57 | 3.42 | 3.15 | 2.55 | 1.92 | 0.68 | -0.45 | 0.59 | 1.53 | 3.54 |
Travel + Leisure Co's interest coverage ratio provides insights into the company's ability to meet its interest obligations using its operating income. The trend of the interest coverage ratio over the past few quarters shows fluctuations:
- The interest coverage ratio was 3.54 as of March 31, 2020, indicating that the company generated enough operating income to cover its interest expenses comfortably.
- However, the ratio declined to 1.53 by June 30, 2020, suggesting a potential strain on the company's ability to meet its interest payments.
- The ratio further deteriorated to 0.59 by September 30, 2020, indicating a critical situation where the company's operating income may not be sufficient to cover its interest expenses.
- By December 31, 2020, the interest coverage ratio was negative at -0.45, implying that the company's operating income was insufficient to cover its interest obligations.
- The company managed to improve its interest coverage ratio gradually over the following quarters, reaching 3.10 by December 31, 2024.
- Overall, the company showed improvements in its ability to cover interest expenses, with the ratio fluctuating but generally trending upwards from the critical levels seen in 2020.
It is essential for investors and analysts to continue monitoring Travel + Leisure Co's interest coverage ratio to assess the company's financial health and its ability to manage its debt obligations effectively.