Viavi Solutions Inc (VIAV)
Solvency ratios
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.37 | 0.36 | 0.34 | 0.35 | 0.34 | 0.00 | 0.34 | 0.00 | 0.34 | 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 | 0.48 | 0.47 | 0.47 | 0.48 | 0.48 | 0.00 | 0.47 | 0.00 | 0.48 | 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 | 0.93 | 0.90 | 0.87 | 0.93 | 0.91 | 0.00 | 0.90 | 0.00 | 0.92 | 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 | 2.55 | 2.47 | 2.55 | 2.67 | 2.68 | 2.81 | 2.66 | 2.72 | 2.72 | 2.65 | 2.61 | 2.53 | 2.57 | 2.57 | 2.61 | 2.68 | 2.81 | 2.63 | 2.43 | 2.55 |
Viavi Solutions Inc has maintained a relatively stable debt-to-assets ratio over the analyzed periods, with a range of 0.34 to 0.37. This indicates that around 34% to 37% of the company's assets were financed by debt.
Similarly, the debt-to-capital ratio has also shown consistency, ranging from 0.47 to 0.48. This suggests that debt comprises roughly 47% to 48% of the company's total capital structure.
The debt-to-equity ratio has demonstrated some variation, fluctuating between 0.87 to 0.93. This ratio indicates that Viavi Solutions Inc's debt usually represents around 87% to 93% of the shareholders' equity in the company.
Analyzing the financial leverage ratio reveals a consistent trend with some fluctuations, ranging from 2.43 to 2.81 over the periods under review. This ratio indicates that the company's financial leverage has varied between 2.43 to 2.81 times, showing the extent to which the company relies on debt to finance its assets.
Overall, Viavi Solutions Inc's solvency ratios suggest a stable and balanced capital structure, with a significant portion of assets and capital being funded by debt across the analyzed periods. However, it is essential to monitor these ratios over time to ensure the company's financial health and sustainability.
Coverage ratios
| 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 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 1.26 | 1.87 | 2.10 | 2.19 | 3.24 | 4.77 | 6.35 | 6.86 | 3.79 | 3.65 | 4.21 | 5.17 | 9.90 | — | 28.97 | 13.32 | 8.01 | 3.43 | 3.30 | 2.90 |
Interest coverage ratio measures a company's ability to pay its interest expenses on outstanding debt. A higher interest coverage ratio indicates a stronger ability to cover interest obligations.
Analyzing Viavi Solutions Inc's interest coverage ratio over the past few quarters, we observe fluctuations in the ratio. The ratio has ranged from a low of 1.26 to a high of 28.97, with the most recent figure reported at 1.26.
The trend in Viavi Solutions Inc's interest coverage ratio shows variability, with some quarters exhibiting strong coverage while others indicate lower coverage levels. It is essential for investors and creditors to closely monitor this ratio to assess the company's ability to service its debt obligations.
It is worth noting that a declining interest coverage ratio may signal potential financial distress, indicating that the company may struggle to meet its interest payments in the future. On the other hand, consistently high interest coverage ratios demonstrate strong financial health and the ability to comfortably meet interest expenses.
Overall, Viavi Solutions Inc's interest coverage ratio trend suggests fluctuations in its ability to cover interest expenses, emphasizing the importance of closely monitoring the company's financial performance and debt management strategies.