Ziff Davis Inc (ZD)

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 0.23 0.25 0.27 0.27 0.29 0.30 0.29 0.28 0.28 0.29 0.29 0.31 0.27 0.29 0.32 0.32 0.32 0.32 0.31 0.43
Debt-to-capital ratio 0.32 0.33 0.35 0.35 0.35 0.36 0.35 0.35 0.35 0.36 0.37 0.38 0.34 0.45 0.48 0.48 0.49 0.48 0.46 0.54
Debt-to-equity ratio 0.48 0.49 0.54 0.53 0.53 0.55 0.54 0.53 0.53 0.56 0.58 0.60 0.53 0.81 0.92 0.93 0.98 0.91 0.85 1.17
Financial leverage ratio 2.05 1.95 1.96 1.96 1.83 1.88 1.86 1.86 1.87 1.91 1.97 1.96 1.92 2.80 2.86 2.91 3.03 2.84 2.71 2.71

The solvency ratios of Ziff Davis Inc reflect its ability to meet its long-term obligations. The Debt-to-assets ratio has been gradually improving from 0.43 in March 2020 to 0.23 in December 2024, indicating a decreasing reliance on debt to finance its assets. Similarly, the Debt-to-capital ratio has shown a declining trend over the years, declining from 0.54 in March 2020 to 0.32 in December 2024, suggesting a more balanced capital structure.

The Debt-to-equity ratio has also decreased significantly from 1.17 in March 2020 to 0.48 in December 2024, indicating a lower level of financial risk and reliance on equity financing. This trend suggests that the company has been reducing its debt levels relative to its equity, which is a positive sign for investors and creditors.

Furthermore, the Financial leverage ratio has shown a decreasing trend from 2.71 in March 2020 to 2.05 in December 2024, indicating a reduction in financial risk and leverage. A lower financial leverage ratio implies that the company is relying less on debt to finance its operations, which can improve its overall financial stability and creditworthiness.

Overall, the solvency ratios of Ziff Davis Inc demonstrate a positive trajectory, with improvements seen across key metrics over the years. This suggests that the company is managing its debt levels prudently and enhancing its financial health and stability.

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 8.12 11.76 15.26 8.21 6.62 6.26 6.48 7.66 6.13 4.35 3.75 2.46 2.10 0.11 0.36 0.83 1.05 1.50 1.37 1.24

The interest coverage ratio of Ziff Davis Inc has shown fluctuations over the analyzed period. It started at 1.24 in March 2020 and peaked at 15.26 in June 2024. Generally, an interest coverage ratio below 1 indicates that a company is not generating enough operating income to meet its interest obligations. Ziff Davis Inc experienced this situation in March 2021 and June 2021 when the ratios were at 0.83 and 0.36, respectively.

However, the company's interest coverage improved significantly thereafter, exceeding 1 consistently from September 2021 onwards. This improvement indicates that Ziff Davis Inc's operating income has become more capable of covering its interest expenses. Notably, the interest coverage ratio surged to 15.26 in June 2024, signaling a strong ability to meet interest obligations.

From a creditor's perspective, the steadily increasing interest coverage ratio from 2021 to 2024 suggests an enhanced capacity of Ziff Davis Inc to meet its interest payments, reflecting positively on the company's financial stability and ability to service its debt efficiently. The trend indicates an overall improvement in Ziff Davis Inc's financial health with a comfortable buffer against interest payment risks.