Bristow Group Inc (VTOL)
Solvency ratios
| Dec 31, 2023 | Dec 31, 2022 | Mar 31, 2022 | Mar 31, 2021 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.28 | 0.28 | 0.28 | 0.26 | 0.19 |
| Debt-to-capital ratio | 0.39 | 0.39 | 0.38 | 0.37 | 0.24 |
| Debt-to-equity ratio | 0.65 | 0.63 | 0.61 | 0.59 | 0.31 |
| Financial leverage ratio | 2.35 | 2.30 | 2.18 | 2.22 | 1.66 |
The solvency ratios of Bristow Group Inc indicate the extent to which the company relies on debt financing to support its operations and growth. The debt-to-assets ratio has remained relatively stable around 0.28 over the past few years, indicating that the company finances approximately 28% of its assets through debt.
Similarly, the debt-to-capital and debt-to-equity ratios have shown a consistent trend of gradual increase, with the debt-to-capital ratio hovering around 0.39 and the debt-to-equity ratio ranging from 0.31 to 0.65. These ratios suggest that Bristow Group Inc has been slightly increasing its dependence on debt capital relative to its total capital and equity base.
The financial leverage ratio, which reflects the proportion of the company's assets financed by debt compared to equity, has also been trending upwards. The ratio has increased from 1.66 in December 2019 to 2.35 in December 2023, indicating a higher level of financial leverage in recent years.
Overall, these solvency ratios suggest that Bristow Group Inc has been gradually increasing its reliance on debt financing to support its operations and investments. While moderate levels of debt can provide leverage for growth opportunities, it is important for the company to carefully manage its debt levels to ensure financial stability and solvency in the long run.
Coverage ratios
| Dec 31, 2023 | Dec 31, 2022 | Mar 31, 2022 | Mar 31, 2021 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 1.44 | — | 0.89 | -0.10 | 0.69 |
The interest coverage ratio of Bristow Group Inc has shown variability over the last few years. As of December 31, 2023, the interest coverage ratio stood at 1.44, indicating that the company was able to cover its interest expenses 1.44 times using its operating income. This represents an improvement compared to the negative ratios reported in previous periods, such as March 31, 2021, and a promising sign of the company's ability to meet its interest obligations. However, it is important to note that there was missing data for December 31, 2022, which limits a comprehensive trend analysis. Overall, the recent improvement in the interest coverage ratio suggests a positive development in Bristow Group Inc's financial health.