Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Generac Holdings Inc., solvency ratios
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Generac Holdings Inc. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Generac Holdings Inc. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Generac Holdings Inc. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Generac Holdings Inc. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Generac Holdings Inc. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Generac Holdings Inc. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Generac Holdings Inc. financial leverage ratio decreased from 2019 to 2020 and from 2020 to 2021. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Generac Holdings Inc. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Generac Holdings Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity
Generac Holdings Inc., debt to equity calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Stockholders’ equity attributable to Generac Holdings Inc. | 2,213,774) | 1,390,293) | 1,032,382) | 760,549) | 559,552) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.44 | 0.64 | 0.87 | 1.21 | 1.66 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Boeing Co. | — | — | — | — | — | |
| Caterpillar Inc. | 2.29 | 2.42 | 2.58 | — | — | |
| Eaton Corp. plc | 0.52 | 0.54 | 0.52 | — | — | |
| GE Aerospace | 0.87 | 2.11 | 3.21 | — | — | |
| Honeywell International Inc. | 1.06 | 1.28 | 0.87 | — | — | |
| Lockheed Martin Corp. | 1.07 | 2.02 | — | — | — | |
| RTX Corp. | 0.43 | 0.44 | 1.04 | — | — | |
| Debt to Equity, Sector | ||||||
| Capital Goods | 1.26 | 1.75 | — | — | — | |
| Debt to Equity, Industry | ||||||
| Industrials | 1.36 | 1.80 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity attributable to Generac Holdings Inc.
= 980,056 ÷ 2,213,774 = 0.44
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Generac Holdings Inc. debt to equity ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity (including Operating Lease Liability)
Generac Holdings Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Operating lease liabilities, current (recorded in Other accrued liabilities) | 23,549) | 17,192) | 7,231) | —) | —) | |
| Operating lease liabilities, noncurrent (recorded in Operating lease and other long-term liabilities) | 80,370) | 46,558) | 29,778) | —) | —) | |
| Total debt (including operating lease liability) | 1,083,975) | 948,943) | 935,873) | 923,956) | 928,722) | |
| Stockholders’ equity attributable to Generac Holdings Inc. | 2,213,774) | 1,390,293) | 1,032,382) | 760,549) | 559,552) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.49 | 0.68 | 0.91 | 1.21 | 1.66 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Boeing Co. | — | — | — | — | — | |
| Caterpillar Inc. | 2.33 | 2.46 | 2.62 | — | — | |
| Eaton Corp. plc | 0.55 | 0.57 | 0.55 | — | — | |
| GE Aerospace | 0.94 | 2.20 | 3.32 | — | — | |
| Honeywell International Inc. | 1.11 | 1.32 | 0.90 | — | — | |
| Lockheed Martin Corp. | 1.19 | 2.21 | — | — | — | |
| RTX Corp. | 0.46 | 0.47 | 1.11 | — | — | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Capital Goods | 1.32 | 1.81 | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Industrials | 1.52 | 1.98 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity attributable to Generac Holdings Inc.
= 1,083,975 ÷ 2,213,774 = 0.49
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Generac Holdings Inc. debt to equity ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital
Generac Holdings Inc., debt to capital calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Stockholders’ equity attributable to Generac Holdings Inc. | 2,213,774) | 1,390,293) | 1,032,382) | 760,549) | 559,552) | |
| Total capital | 3,193,830) | 2,275,486) | 1,931,246) | 1,684,505) | 1,488,274) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.31 | 0.39 | 0.47 | 0.55 | 0.62 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Boeing Co. | 1.35 | 1.40 | 1.46 | — | — | |
| Caterpillar Inc. | 0.70 | 0.71 | 0.72 | — | — | |
| Eaton Corp. plc | 0.34 | 0.35 | 0.34 | — | — | |
| GE Aerospace | 0.47 | 0.68 | 0.76 | — | — | |
| Honeywell International Inc. | 0.51 | 0.56 | 0.46 | — | — | |
| Lockheed Martin Corp. | 0.52 | 0.67 | — | — | — | |
| RTX Corp. | 0.30 | 0.31 | 0.51 | — | — | |
| Debt to Capital, Sector | ||||||
| Capital Goods | 0.56 | 0.64 | — | — | — | |
| Debt to Capital, Industry | ||||||
| Industrials | 0.58 | 0.64 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to capital = Total debt ÷ Total capital
= 980,056 ÷ 3,193,830 = 0.31
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Generac Holdings Inc. debt to capital ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital (including Operating Lease Liability)
Generac Holdings Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Operating lease liabilities, current (recorded in Other accrued liabilities) | 23,549) | 17,192) | 7,231) | —) | —) | |
| Operating lease liabilities, noncurrent (recorded in Operating lease and other long-term liabilities) | 80,370) | 46,558) | 29,778) | —) | —) | |
| Total debt (including operating lease liability) | 1,083,975) | 948,943) | 935,873) | 923,956) | 928,722) | |
| Stockholders’ equity attributable to Generac Holdings Inc. | 2,213,774) | 1,390,293) | 1,032,382) | 760,549) | 559,552) | |
| Total capital (including operating lease liability) | 3,297,749) | 2,339,236) | 1,968,255) | 1,684,505) | 1,488,274) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.33 | 0.41 | 0.48 | 0.55 | 0.62 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Boeing Co. | 1.34 | 1.39 | 1.43 | — | — | |
| Caterpillar Inc. | 0.70 | 0.71 | 0.72 | — | — | |
| Eaton Corp. plc | 0.36 | 0.36 | 0.35 | — | — | |
| GE Aerospace | 0.49 | 0.69 | 0.77 | — | — | |
| Honeywell International Inc. | 0.53 | 0.57 | 0.47 | — | — | |
| Lockheed Martin Corp. | 0.54 | 0.69 | — | — | — | |
| RTX Corp. | 0.31 | 0.32 | 0.53 | — | — | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Capital Goods | 0.57 | 0.64 | — | — | — | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Industrials | 0.60 | 0.66 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 1,083,975 ÷ 3,297,749 = 0.33
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Generac Holdings Inc. debt to capital ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets
Generac Holdings Inc., debt to assets calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Total assets | 4,877,780) | 3,235,423) | 2,665,669) | 2,426,314) | 2,019,964) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.20 | 0.27 | 0.34 | 0.38 | 0.46 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Boeing Co. | 0.42 | 0.42 | 0.20 | — | — | |
| Caterpillar Inc. | 0.46 | 0.47 | 0.48 | — | — | |
| Eaton Corp. plc | 0.25 | 0.25 | 0.25 | — | — | |
| GE Aerospace | 0.18 | 0.30 | 0.34 | — | — | |
| Honeywell International Inc. | 0.30 | 0.35 | 0.27 | — | — | |
| Lockheed Martin Corp. | 0.23 | 0.24 | — | — | — | |
| RTX Corp. | 0.20 | 0.20 | 0.31 | — | — | |
| Debt to Assets, Sector | ||||||
| Capital Goods | 0.28 | 0.32 | — | — | — | |
| Debt to Assets, Industry | ||||||
| Industrials | 0.30 | 0.33 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to assets = Total debt ÷ Total assets
= 980,056 ÷ 4,877,780 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Generac Holdings Inc. debt to assets ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets (including Operating Lease Liability)
Generac Holdings Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Short-term borrowings | 72,035) | 39,282) | 58,714) | 45,583) | 20,602) | |
| Current portion of long-term borrowings and finance lease obligations | 5,930) | 4,147) | 2,383) | 1,977) | 1,572) | |
| Long-term borrowings and finance lease obligations, excluding current portion | 902,091) | 841,764) | 837,767) | 876,396) | 906,548) | |
| Total debt | 980,056) | 885,193) | 898,864) | 923,956) | 928,722) | |
| Operating lease liabilities, current (recorded in Other accrued liabilities) | 23,549) | 17,192) | 7,231) | —) | —) | |
| Operating lease liabilities, noncurrent (recorded in Operating lease and other long-term liabilities) | 80,370) | 46,558) | 29,778) | —) | —) | |
| Total debt (including operating lease liability) | 1,083,975) | 948,943) | 935,873) | 923,956) | 928,722) | |
| Total assets | 4,877,780) | 3,235,423) | 2,665,669) | 2,426,314) | 2,019,964) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.22 | 0.29 | 0.35 | 0.38 | 0.46 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Boeing Co. | 0.43 | 0.43 | 0.21 | — | — | |
| Caterpillar Inc. | 0.46 | 0.48 | 0.49 | — | — | |
| Eaton Corp. plc | 0.27 | 0.27 | 0.27 | — | — | |
| GE Aerospace | 0.19 | 0.31 | 0.35 | — | — | |
| Honeywell International Inc. | 0.32 | 0.36 | 0.28 | — | — | |
| Lockheed Martin Corp. | 0.26 | 0.26 | — | — | — | |
| RTX Corp. | 0.21 | 0.21 | 0.33 | — | — | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Capital Goods | 0.29 | 0.33 | — | — | — | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Industrials | 0.34 | 0.36 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 1,083,975 ÷ 4,877,780 = 0.22
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Generac Holdings Inc. debt to assets ratio (including operating lease liability) improved from 2019 to 2020 and from 2020 to 2021. |
Financial Leverage
Generac Holdings Inc., financial leverage calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Total assets | 4,877,780) | 3,235,423) | 2,665,669) | 2,426,314) | 2,019,964) | |
| Stockholders’ equity attributable to Generac Holdings Inc. | 2,213,774) | 1,390,293) | 1,032,382) | 760,549) | 559,552) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 2.20 | 2.33 | 2.58 | 3.19 | 3.61 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Boeing Co. | — | — | — | — | — | |
| Caterpillar Inc. | 5.02 | 5.11 | 5.38 | — | — | |
| Eaton Corp. plc | 2.07 | 2.13 | 2.04 | — | — | |
| GE Aerospace | 4.93 | 7.13 | 9.40 | — | — | |
| Honeywell International Inc. | 3.47 | 3.68 | 3.17 | — | — | |
| Lockheed Martin Corp. | 4.64 | 8.43 | — | — | — | |
| RTX Corp. | 2.21 | 2.25 | 3.34 | — | — | |
| Financial Leverage, Sector | ||||||
| Capital Goods | 4.55 | 5.54 | — | — | — | |
| Financial Leverage, Industry | ||||||
| Industrials | 4.49 | 5.44 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity attributable to Generac Holdings Inc.
= 4,877,780 ÷ 2,213,774 = 2.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Generac Holdings Inc. financial leverage ratio decreased from 2019 to 2020 and from 2020 to 2021. |
Interest Coverage
Generac Holdings Inc., interest coverage calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Net income attributable to Generac Holdings Inc. | 550,494) | 350,576) | 252,007) | 238,257) | 159,386) | |
| Add: Net income attributable to noncontrolling interest | 6,075) | (3,358) | 301) | 2,963) | 1,749) | |
| Add: Income tax expense | 134,957) | 98,973) | 67,299) | 69,856) | 43,553) | |
| Add: Interest expense | 32,953) | 32,991) | 41,544) | 40,956) | 42,667) | |
| Earnings before interest and tax (EBIT) | 724,479) | 479,182) | 361,151) | 352,032) | 247,355) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 21.99 | 14.52 | 8.69 | 8.60 | 5.80 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Boeing Co. | -0.88 | -5.71 | -2.19 | — | — | |
| Caterpillar Inc. | 17.88 | 8.80 | 19.62 | — | — | |
| Eaton Corp. plc | 21.11 | 12.72 | 11.98 | — | — | |
| GE Aerospace | -0.96 | 2.59 | 1.27 | — | — | |
| Honeywell International Inc. | 22.09 | 17.75 | 22.17 | — | — | |
| Lockheed Martin Corp. | 14.27 | 14.93 | — | — | — | |
| RTX Corp. | 4.71 | -0.65 | 5.65 | — | — | |
| Interest Coverage, Sector | ||||||
| Capital Goods | 3.98 | 1.99 | — | — | — | |
| Interest Coverage, Industry | ||||||
| Industrials | 5.21 | 1.33 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Interest coverage = EBIT ÷ Interest expense
= 724,479 ÷ 32,953 = 21.99
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Generac Holdings Inc. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Fixed Charge Coverage
Generac Holdings Inc., fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Net income attributable to Generac Holdings Inc. | 550,494) | 350,576) | 252,007) | 238,257) | 159,386) | |
| Add: Net income attributable to noncontrolling interest | 6,075) | (3,358) | 301) | 2,963) | 1,749) | |
| Add: Income tax expense | 134,957) | 98,973) | 67,299) | 69,856) | 43,553) | |
| Add: Interest expense | 32,953) | 32,991) | 41,544) | 40,956) | 42,667) | |
| Earnings before interest and tax (EBIT) | 724,479) | 479,182) | 361,151) | 352,032) | 247,355) | |
| Add: Operating lease cost | 22,432) | 18,648) | 9,647) | 10,739) | 10,845) | |
| Earnings before fixed charges and tax | 746,911) | 497,830) | 370,798) | 362,771) | 258,200) | |
| Interest expense | 32,953) | 32,991) | 41,544) | 40,956) | 42,667) | |
| Operating lease cost | 22,432) | 18,648) | 9,647) | 10,739) | 10,845) | |
| Fixed charges | 55,385) | 51,639) | 51,191) | 51,695) | 53,512) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 13.49 | 9.64 | 7.24 | 7.02 | 4.83 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Boeing Co. | -0.64 | -4.75 | -1.19 | — | — | |
| Caterpillar Inc. | 12.73 | 6.58 | 13.01 | — | — | |
| Eaton Corp. plc | 10.40 | 6.24 | 7.45 | — | — | |
| GE Aerospace | -0.22 | 1.93 | 1.09 | — | — | |
| Honeywell International Inc. | 13.67 | 11.49 | 14.06 | — | — | |
| Lockheed Martin Corp. | 9.95 | 11.12 | — | — | — | |
| RTX Corp. | 3.66 | -0.22 | 4.31 | — | — | |
| Fixed Charge Coverage, Sector | ||||||
| Capital Goods | 3.06 | 1.66 | — | — | — | |
| Fixed Charge Coverage, Industry | ||||||
| Industrials | 3.49 | 1.17 | — | — | — | |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
1 2021 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 746,911 ÷ 55,385 = 13.49
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Generac Holdings Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |