Visteon Corp (VC)
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 | 2.33 | 2.44 | 2.45 | 2.61 | 2.63 | 3.26 | 3.29 | 3.34 | 3.63 | 4.19 | 4.03 | 4.15 | 4.33 | 5.16 | 5.39 | 5.65 | 5.87 | 5.62 | 6.48 | 6.31 |
The solvency ratios of Visteon Corp indicate a consistently strong financial position over the years. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all remained at 0.00 throughout the period under consideration from March 2020 to December 2024. This suggests that Visteon Corp has not utilized debt significantly to finance its operations, leading to lower financial risk and a higher level of financial stability.
Furthermore, the financial leverage ratio has shown a declining trend from 6.31 in March 2020 to 2.33 in December 2024. This indicates that the company has been reducing its reliance on debt to support its operations and growth, which is a positive sign of effective financial management and improving financial health.
Overall, the solvency ratios of Visteon Corp reflect a sound financial position with minimal debt levels and decreasing financial leverage over time, highlighting the company's ability to meet its financial obligations and sustain its operations effectively.
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 | 20.40 | 19.06 | 21.50 | 17.81 | 18.20 | 17.00 | 15.93 | 15.50 | 14.07 | 15.33 | 11.91 | 9.10 | 8.60 | 6.80 | 8.29 | 5.38 | 1.69 | 3.00 | 1.79 | 6.17 |
The interest coverage ratio measures a company's ability to cover its interest expenses with its operating income. A higher ratio indicates better ability to meet interest obligations.
Analyzing the interest coverage data of Visteon Corp from March 2020 to December 2024, we observe fluctuations in the ratio over time. The ratio was relatively stable around 1.7 to 3.0 from March 2020 to December 2020, indicating a moderate ability to cover interest expenses.
From March 2021 to June 2022, the interest coverage ratio showed a significant improvement, reaching a peak of 21.50 in June 2024. This indicates a strong improvement in the company's ability to cover its interest expenses, reflecting better financial health and operational efficiency.
However, there was a slight decline in the interest coverage ratio in the later periods, stabilizing around 19.06 to 20.40 from September 2024 to December 2024. While the ratio remained at a relatively high level, the slight decrease suggests the need for monitoring the company's interest obligations and operating income going forward to ensure sustainable financial performance.
Overall, the trend in Visteon Corp's interest coverage ratio demonstrates fluctuations but with an overall positive trajectory towards better coverage of interest expenses, indicating improved financial stability and efficiency in managing its debt obligations.