Wolverine World Wide Inc (WWW)
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 | 3.69 | 6.10 | 6.85 | 7.34 | 7.40 | 6.15 | 6.42 | 7.40 | 7.35 | 4.83 | 4.58 | 4.60 | 4.01 | 4.28 | 3.55 | 3.63 | 3.73 | 3.32 | 3.52 | 3.74 |
Wolverine World Wide Inc has shown consistently low solvency ratios over the past few years. The Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have all been consistently at 0.00, indicating that the company has not relied on debt to finance its operations and growth.
However, the Financial leverage ratio has shown some fluctuations, starting at 3.74 in March 31, 2020, reaching a peak of 7.40 in March 31, 2023, and then declining to 3.69 by December 31, 2024. This suggests that the company's reliance on debt relative to its equity has varied significantly over time, with a notable increase in leverage in the period up to December 31, 2022.
Overall, Wolverine World Wide Inc's solvency ratios indicate a conservative approach to financial leverage, with a focus on maintaining a low level of debt relative to assets, capital, and equity.
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 | 2.41 | -2.44 | -2.44 | -1.73 | -1.16 | -5.32 | -5.03 | -5.31 | -6.10 | 2.67 | 1.54 | 1.19 | 1.96 | -1.88 | -0.83 | -1.76 | -2.49 | 2.34 | 3.18 | 4.69 |
The interest coverage ratio measures a company's ability to meet its interest payments on outstanding debt. A higher interest coverage ratio indicates that the company is more capable of servicing its debt.
Looking at Wolverine World Wide Inc's interest coverage over the period provided, we observe fluctuations in the ratio. From March 2020 to June 2022, the interest coverage ratio generally declined, indicating a potential deterioration in the company's ability to cover its interest expenses with its operating income.
Starting from December 2022, the interest coverage ratio turned negative, which suggests the company may have been facing challenges in generating sufficient operating income to cover its interest payments. This trend continued until December 2024, with the ratio remaining negative for several quarters.
In December 2024, there was a notable improvement in the interest coverage ratio, showing a positive value of 2.41. This improvement could signal a potential turnaround in the company's ability to cover its interest obligations, but it is essential to monitor future developments to confirm this positive trend.
Overall, Wolverine World Wide Inc experienced fluctuations in its interest coverage ratio over the analyzed period, with a recent improvement in December 2024 indicating a possibly improved financial position in terms of meeting interest payment obligations.