UNITIL Corporation (UTL)

Solvency ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Debt-to-assets ratio	0.30	0.31	0.30	0.30	0.31	0.31	0.32	0.32	0.32	0.33	0.34	0.35	0.35	0.37	0.32	0.32	0.32	0.31	0.29	0.29
Debt-to-capital ratio	0.51	0.51	0.50	0.50	0.51	0.52	0.52	0.52	0.53	0.53	0.56	0.56	0.57	0.58	0.53	0.53	0.54	0.53	0.50	0.50
Debt-to-equity ratio	1.04	1.06	1.00	1.00	1.05	1.07	1.07	1.07	1.11	1.14	1.26	1.28	1.34	1.39	1.13	1.12	1.16	1.11	1.00	1.00
Financial leverage ratio	3.41	3.38	3.29	3.32	3.40	3.44	3.33	3.34	3.43	3.43	3.69	3.66	3.80	3.74	3.59	3.55	3.64	3.54	3.43	3.45

Unitil Corp.'s solvency ratios indicate its ability to meet its long-term financial obligations and the extent to which the company relies on debt to finance its operations.

The Debt-to-assets ratio has been relatively stable, ranging between 0.36 and 0.40 over the past eight quarters. This ratio indicates that, on average, 36% to 40% of Unitil's total assets are financed by debt.

The Debt-to-capital ratio has also shown consistency, hovering around 0.56 to 0.58 in the same period. This ratio suggests that, on average, 56% to 58% of Unitil's capital structure is funded by debt.

The Debt-to-equity ratio has exhibited a slight upward trend over the quarters, increasing from 1.18 to 1.38. This ratio signifies that Unitil relies more on debt financing, as for every dollar of equity, the company has $1.18 to $1.38 of debt.

The Financial leverage ratio has been fluctuating but within a narrow range, indicating the company's financial risk. The ratio ranges from 3.29 to 3.44, implying that Unitil's assets are funded through a combination of equity and debt, with an average leverage multiple of around 3.35 to 3.44 times.

Overall, Unitil Corp.'s solvency ratios suggest a moderate level of debt utilization to fund its operations, with a stable capital structure and manageable financial leverage. It appears that the company has been maintaining a prudent balance between debt and equity financing to support its long-term viability and financial stability.

Coverage ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Interest coverage	2.61	2.69	2.78	2.82	2.84	2.99	3.04	3.00	2.88	2.82	2.87	2.92	2.71	2.60	2.69	2.70	2.75	2.72	2.73	2.68

The interest coverage ratio measures a company's ability to meet its interest obligations on outstanding debt. It is calculated by dividing the company's earnings before interest and taxes (EBIT) by its interest expenses.

Unitil Corp.'s interest coverage ratio has been relatively stable over the past eight quarters, ranging between 2.64 to 3.24. This indicates that the company has consistently generated earnings sufficient to cover its interest expenses. A ratio above 1.5 is usually considered healthy, as it suggests that the company is generating enough income to comfortably meet its interest payments.

By consistently maintaining interest coverage ratios above 3, Unitil Corp. demonstrates a strong ability to pay off its interest obligations using its earnings before accounting for taxes and interest. This consistent performance suggests that the company has maintained a sound financial position and is effectively managing its debt levels.