Universal Health Services Inc (UHS)
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 | 2.14 | 2.17 | 2.17 | 2.24 | 2.33 | 2.29 | 2.26 | 2.25 | 2.28 | 2.28 | 2.29 | 2.24 | 2.15 | 2.05 | 1.98 | 2.01 | 2.13 | 2.18 | 2.14 | 2.15 |
Universal Health Services Inc has exhibited consistently low solvency ratios over the period analyzed. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all remained at 0.00, indicating that the company has effectively zero debts in relation to its assets, capital, and equity. This suggests a strong financial position with minimal financial risk.
The Financial leverage ratio, which measures the company's level of financial leverage or the proportion of debt in its capital structure, has fluctuated between 1.98 and 2.33 over the period. The increasing trend from 2.01 in March 2021 to 2.33 in December 2023 indicates a slight increase in financial risk and reliance on debt financing. However, the ratio has since stabilized and remains relatively low compared to industry averages.
Overall, Universal Health Services Inc's solvency ratios indicate a conservative approach to debt management and a solid financial position with low risk of insolvency.
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 | 9.20 | 7.50 | 6.73 | 5.98 | 5.49 | 5.90 | 6.44 | 7.09 | 8.36 | 10.63 | 12.83 | 15.97 | 16.66 | 17.36 | 17.09 | 15.43 | 12.79 | 11.01 | 8.58 | 7.59 |
The interest coverage ratio for Universal Health Services Inc has exhibited a generally positive trend over the past few years, indicating the company's ability to meet its interest obligations comfortably. The ratio increased steadily from around 7.59 in March 2020 to a peak of 17.36 in September 2021, showcasing a strong improvement in the company's ability to cover its interest expenses.
However, starting from June 2022, the interest coverage ratio began to decline, dropping to 6.44 in June 2023 and further reducing to 5.49 by December 2023. This could signal a potential decrease in the company's ability to cover its interest costs efficiently.
Although the ratio saw a slight uptick to 9.20 by December 2024, it remains below the peak levels seen in 2021. It would be important for investors and stakeholders to monitor this trend closely to ensure that Universal Health Services Inc maintains a healthy level of interest coverage to meet its financial obligations in the long term.