Williams Companies Inc (WMB)

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	0.49	0.47	0.50	0.50	0.47	0.45	0.45	0.53	0.58	0.49	0.61	0.59	0.61	0.59	0.51	0.50	0.55	0.55	0.48	0.53
Debt-to-capital ratio	0.67	0.67	0.68	0.67	0.66	0.66	0.66	0.68	0.71	0.67	0.71	0.70	0.70	0.68	0.65	0.65	0.65	0.65	0.62	0.63
Debt-to-equity ratio	2.07	2.02	2.09	2.07	1.96	1.94	1.92	2.15	2.43	2.00	2.40	2.29	2.30	2.15	1.88	1.82	1.89	1.85	1.61	1.70
Financial leverage ratio	4.24	4.29	4.20	4.15	4.22	4.30	4.24	4.07	4.17	4.11	3.95	3.87	3.75	3.67	3.71	3.61	3.45	3.40	3.36	3.19

Williams Cos Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has remained relatively stable around 0.50 over the past eight quarters, indicating that 50% of the company's assets are financed by debt. This ratio suggests that Williams Cos Inc has a moderate level of debt compared to its total assets.

Similarly, the debt-to-capital ratio has remained steady at around 0.68, indicating that 68% of the company's capital structure is comprised of debt. This implies that Williams Cos Inc relies significantly on debt to fund its operations and investments.

The debt-to-equity ratio has shown a slight fluctuation but generally hovers around 2.0, indicating that the company's debt level is approximately twice its equity level. This suggests that Williams Cos Inc is moderately leveraged and may have a higher financial risk due to its reliance on debt financing.

Lastly, the financial leverage ratio has also shown variability but has generally been above 4.0, indicating that the company has a high level of financial leverage. This means that Williams Cos Inc's assets are financed significantly by debt, which can magnify both returns and risks for shareholders.

Overall, based on these solvency ratios, Williams Cos Inc appears to have a moderate to high level of debt in its capital structure, which may pose risks but also provide opportunities for growth and profitability.

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	4.39	3.99	3.94	3.76	3.16	3.05	2.64	2.67	2.72	2.17	2.35	2.35	1.25	1.28	1.18	1.17	2.00	1.20	1.23	1.04

Williams Cos Inc interest coverage has shown a positive trend across the quarters, indicating the company's improving ability to cover its interest expenses with its operating income. The interest coverage ratio has ranged from 2.64 in Q2 2022 to 4.10 in Q4 2023. This suggests that the company's operating income is 4.10 times its interest expenses in the most recent quarter, which signifies a healthy financial position. The consistent increase in the interest coverage ratio over the quarters is a positive signal, indicating that the company is becoming more efficient in meeting its interest obligations. Overall, the improving trend in interest coverage reflects positively on Williams Cos Inc's financial health and ability to meet its debt obligations.