Dentsply Sirona Inc (XRAY)

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	0.24	0.25	0.24	0.24	0.24	0.23	0.20	0.20	0.21	0.21	0.21	0.21	0.21	0.22	0.25	0.18	0.17	0.17	0.17	0.18
Debt-to-capital ratio	0.35	0.35	0.33	0.34	0.32	0.32	0.27	0.28	0.28	0.28	0.28	0.28	0.29	0.29	0.32	0.23	0.22	0.22	0.22	0.23
Debt-to-equity ratio	0.55	0.53	0.50	0.51	0.48	0.48	0.37	0.38	0.38	0.38	0.38	0.39	0.40	0.41	0.47	0.30	0.28	0.28	0.28	0.30
Financial leverage ratio	2.24	2.13	2.06	2.11	2.01	2.08	1.85	1.89	1.85	1.84	1.85	1.85	1.89	1.87	1.85	1.72	1.69	1.65	1.66	1.68

DENTSPLY Sirona Inc's solvency ratios provide insights into the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has been relatively stable over the quarters, ranging from 0.25 to 0.29. This indicates that around 25-29% of the company's assets are funded by debt, with a slight uptrend observed recently.

The debt-to-capital ratio, which measures the proportion of the company's capital that is financed by debt, has also been consistent, fluctuating between 0.34 and 0.39. This implies that approximately 34-39% of the company's capital structure is comprised of debt, showing a similar trend to the debt-to-assets ratio.

The debt-to-equity ratio reflects the company's leverage and financial risk. DENTSPLY Sirona Inc's debt-to-equity ratio has varied between 0.51 and 0.64, indicating that the company has been relying more on debt financing compared to equity. There has been an increase in this ratio over the quarters, suggesting higher financial risk.

The financial leverage ratio, which measures the company's debt relative to its equity, has shown a similar increasing trend, ranging from 1.85 to 2.24. This indicates that the company is using more debt to finance its operations, potentially increasing the risk for the shareholders.

Overall, while DENTSPLY Sirona Inc has maintained relatively stable debt levels in relation to its assets and capital, there is an increasing reliance on debt financing as evidenced by the rising debt-to-equity and financial leverage ratios. Investors and stakeholders should monitor these trends to ensure the company's long-term financial health and sustainability.

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	-5.89	-4.44	-17.42	-18.35	-18.72	-16.04	9.51	10.26	10.98	9.63	8.68	4.80	-0.10	-0.18	1.14	6.91	12.50	9.91	7.02	-26.15

The interest coverage ratio for DENTSPLY Sirona Inc has exhibited a decreasing trend over the past eight quarters, suggesting a potential weakening in the company's ability to cover its interest expenses with its operating income. The ratio has declined from a high of 10.72 in Q1 2022 to a low of 3.30 in Q3 2023. This downward trend raises concerns about the company's financial health and ability to service its debt obligations comfortably.

A higher interest coverage ratio indicates that the company is more capable of meeting its interest payments from its operating income. Therefore, the declining trend in DENTSPLY Sirona's interest coverage ratio may signal increased financial risk and potential difficulties in meeting its debt obligations in the future. It is important for investors and stakeholders to closely monitor this ratio and assess the company's overall financial stability and debt management strategies.