Texas Roadhouse Inc (TXRH)
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 | 2.35 | 2.23 | 2.27 | 2.34 | 2.68 | 2.31 | 2.32 | 2.35 | 2.49 | 2.42 | 2.47 | 2.39 | 2.37 | 2.29 | 2.34 | 2.42 | 2.51 | 2.42 | 2.45 | 2.29 |
Texas Roadhouse Inc has consistently maintained a strong solvency position as indicated by its low debt-to-assets, debt-to-capital, and debt-to-equity ratios, all of which have remained at 0.00 across multiple reporting periods. Additionally, the financial leverage ratio, which measures the company's ability to meet its financial obligations through debt financing, has remained relatively stable around 2.30, indicating that the company has a moderate level of financial leverage. Overall, these solvency ratios suggest that Texas Roadhouse Inc has a strong financial position with minimal reliance on debt to fund its operations.
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 | — | 1,847.33 | 586.95 | 222.11 | 170.90 | 132.06 | 158.11 | 212.13 | 196.87 | 210.39 | 149.24 | 117.26 | 81.03 | 56.24 | 42.13 | 16.69 | 6.47 | 21.73 | 55.40 | 195.83 |
The interest coverage ratio measures a company's ability to meet its interest payments on debt obligations. A higher interest coverage ratio indicates that the company is more capable of servicing its debt.
Analyzing the interest coverage ratio of Texas Roadhouse Inc over the past few quarters reveals fluctuations in the company's ability to cover its interest expenses:
- The interest coverage ratio was 195.83 as of March 31, 2020, indicating a strong ability to cover interest payments.
- The ratio declined to 6.47 by December 31, 2020, which may raise concerns about the company's ability to meet its interest obligations.
- The ratio improved to 222.11 by March 31, 2024, signaling a significant enhancement in the company's capacity to cover its interest expenses.
- The ratio surged to 1,847.33 by September 30, 2024, suggesting a substantial increase in Texas Roadhouse Inc's ability to meet its interest payments.
Overall, the trend in Texas Roadhouse Inc's interest coverage ratio shows fluctuations, with periods of strong coverage and others with a lower capacity to service interest payments. It is essential for investors and stakeholders to closely monitor these fluctuations to assess the company's financial health and sustainability in meeting its debt obligations.