Take-Two Interactive Software Inc (TTWO)

Solvency ratios

Mar 31, 2025 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
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 4.29 2.22 2.25 2.16 2.16 1.75 1.80 1.74 1.75 1.77 1.85 1.84 1.72 1.73 1.91 1.74 1.81 1.89 2.01 2.03

Take-Two Interactive Software Inc has consistently maintained a strong solvency position based on its solvency ratios.

The Debt-to-assets ratio has been at 0.00 for all the periods analyzed, indicating that the company has not relied on debt to finance its assets. This suggests that Take-Two Interactive Software Inc has a healthy balance sheet structure with a low risk of insolvency.

Similarly, the Debt-to-capital ratio has also remained at 0.00 throughout the period, showing that the company's capital structure is not heavily reliant on debt financing. This demonstrates financial stability and the ability to sustain operations without incurring significant financial risk.

The Debt-to-equity ratio has consistently remained at 0.00, indicating that Take-Two Interactive Software Inc has not used debt to fund its operations relative to its equity. This ratio further supports the company's strong financial position and ability to meet its financial obligations.

The Financial leverage ratio, which measures the extent of a company's financial leverage, has shown some fluctuations but has generally been at moderate levels. The ratio was relatively stable from June 2020 to March 2023, ranging from 1.72 to 2.16. However, there was a significant increase in the ratio to 4.29 as of March 31, 2025, which may indicate a higher reliance on debt or financial leverage at that point in time.

Overall, based on these solvency ratios, Take-Two Interactive Software Inc appears to have a solid financial footing with minimal debt obligations and a strong ability to cover its financial commitments.


Coverage ratios

Mar 31, 2025 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
Interest coverage -59.21 -43.50 -50.31 -43.46 -38.07 -10.89 -9.97 -9.78 -8.90 -3.09 0.04 9.43 367.65 66.80 63.59 69.52 32.87 37.48 42.02 24.59

Take-Two Interactive Software Inc's interest coverage ratio, which measures the company's ability to cover interest expenses with its operating income, shows varying trends over the period from June 30, 2020, to March 31, 2025.

- The interest coverage ratio starts relatively strong at 24.59 on June 30, 2020, and improves significantly to 69.52 on June 30, 2021, indicating ample operating income to cover interest expenses.

- Throughout the following quarters from September 30, 2021, to March 31, 2023, the interest coverage ratio remains at healthy levels above 30, signifying a consistent ability to meet interest obligations comfortably.

- However, a concerning trend emerges starting from June 30, 2023, where the interest coverage ratio turns negative and continues to deteriorate further in subsequent periods. This indicates that the company's operating income is insufficient to cover its interest expenses, posing a risk of financial distress.

- By the end of the period on March 31, 2025, the interest coverage ratio plunges to -59.21, reflecting a critical situation where the company's financial health is significantly compromised due to an imbalance between interest payments and operating profits.

Overall, Take-Two Interactive Software Inc's interest coverage ratio displays a favorable performance in the initial years but later faces challenges, leading to severe financial strain as indicated by the negative ratios in the latter periods. This downward trend signals a need for monitoring and strategic financial management to address the escalating interest burden and improve the company's financial stability.