Stock Analysis on Net

Thermo Fisher Scientific Inc. (NYSE:TMO)

Analysis of Solvency Ratios

Microsoft Excel

Solvency Ratios (Summary)

Thermo Fisher Scientific Inc., solvency ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Debt Ratios
Debt to equity 0.75 0.78 0.85 0.63 0.60
Debt to equity (including operating lease liability) 0.78 0.82 0.89 0.65 0.62
Debt to capital 0.43 0.44 0.46 0.39 0.37
Debt to capital (including operating lease liability) 0.44 0.45 0.47 0.40 0.38
Debt to assets 0.35 0.35 0.37 0.31 0.30
Debt to assets (including operating lease liability) 0.37 0.37 0.38 0.33 0.32
Financial leverage 2.11 2.21 2.33 2.00 1.97
Coverage Ratios
Interest coverage 5.54 11.56 17.49 14.07 7.02
Fixed charge coverage 4.61 8.12 12.19 10.30 5.61

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Thermo Fisher Scientific Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Thermo Fisher Scientific Inc. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Thermo Fisher Scientific Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023.
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. Thermo Fisher Scientific Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Thermo Fisher Scientific Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Thermo Fisher Scientific Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Thermo Fisher Scientific Inc. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Thermo Fisher Scientific Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Thermo Fisher Scientific Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Debt to Equity

Thermo Fisher Scientific Inc., debt to equity calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
 
Total Thermo Fisher Scientific Inc. shareholders’ equity 46,735 43,978 40,793 34,507 29,675
Solvency Ratio
Debt to equity1 0.75 0.78 0.85 0.63 0.60
Benchmarks
Debt to Equity, Competitors2
AbbVie Inc. 5.73 3.67 4.98 6.58
Amgen Inc. 10.37 10.64 4.97 3.51 3.09
Bristol-Myers Squibb Co. 1.35 1.27 1.24 1.34 0.91
Danaher Corp. 0.34 0.39 0.49 0.53 0.72
Eli Lilly & Co. 2.34 1.52 1.88 2.94 5.88
Gilead Sciences Inc. 1.09 1.19 1.27 1.73 1.09
Johnson & Johnson 0.43 0.52 0.46 0.56 0.47
Merck & Co. Inc. 0.93 0.67 0.87 1.26 1.02
Moderna Inc. 0.04 0.06 0.05 0.05 0.03
Pfizer Inc. 0.81 0.37 0.50 0.63 0.83
Regeneron Pharmaceuticals Inc. 0.10 0.12 0.14 0.24 0.06
Debt to Equity, Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.98 0.79 0.92 1.14 1.10
Debt to Equity, Industry
Health Care 0.81 0.72 0.78 0.90 0.91

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to equity = Total debt ÷ Total Thermo Fisher Scientific Inc. shareholders’ equity
= 34,917 ÷ 46,735 = 0.75

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. Thermo Fisher Scientific Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Equity (including Operating Lease Liability)

Thermo Fisher Scientific Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
Operating lease liabilities, current (included in Other accrued expenses) 263 272 266 184 167
Operating lease liabilities, noncurrent (included in Other long-term liabilities) 1,244 1,313 1,203 626 571
Total debt (including operating lease liability) 36,424 36,073 36,339 22,545 18,490
 
Total Thermo Fisher Scientific Inc. shareholders’ equity 46,735 43,978 40,793 34,507 29,675
Solvency Ratio
Debt to equity (including operating lease liability)1 0.78 0.82 0.89 0.65 0.62
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
AbbVie Inc. 5.82 3.72 5.03 6.66
Amgen Inc. 10.50 10.83 5.07 3.55 3.15
Bristol-Myers Squibb Co. 1.41 1.31 1.27 1.37 0.92
Danaher Corp. 0.37 0.41 0.52 0.56 0.74
Eli Lilly & Co. 2.44 1.59 1.96 3.06 6.11
Gilead Sciences Inc. 1.12 1.22 1.30 1.76 1.12
Johnson & Johnson 0.44 0.53 0.47 0.57 0.48
Merck & Co. Inc. 0.97 0.70 0.91 1.32 1.06
Moderna Inc. 0.09 0.06 0.06 0.09 0.12
Pfizer Inc. 0.84 0.41 0.54 0.65 0.85
Regeneron Pharmaceuticals Inc. 0.11 0.12 0.15 0.25 0.07
Debt to Equity (including Operating Lease Liability), Sector
Pharmaceuticals, Biotechnology & Life Sciences 1.01 0.82 0.95 1.17 1.13
Debt to Equity (including Operating Lease Liability), Industry
Health Care 0.86 0.77 0.84 0.96 0.97

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Thermo Fisher Scientific Inc. shareholders’ equity
= 36,424 ÷ 46,735 = 0.78

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. Thermo Fisher Scientific Inc. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.

Debt to Capital

Thermo Fisher Scientific Inc., debt to capital calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
Total Thermo Fisher Scientific Inc. shareholders’ equity 46,735 43,978 40,793 34,507 29,675
Total capital 81,652 78,466 75,663 56,242 47,427
Solvency Ratio
Debt to capital1 0.43 0.44 0.46 0.39 0.37
Benchmarks
Debt to Capital, Competitors2
AbbVie Inc. 0.85 0.79 0.83 0.87 1.14
Amgen Inc. 0.91 0.91 0.83 0.78 0.76
Bristol-Myers Squibb Co. 0.57 0.56 0.55 0.57 0.48
Danaher Corp. 0.26 0.28 0.33 0.35 0.42
Eli Lilly & Co. 0.70 0.60 0.65 0.75 0.85
Gilead Sciences Inc. 0.52 0.54 0.56 0.63 0.52
Johnson & Johnson 0.30 0.34 0.31 0.36 0.32
Merck & Co. Inc. 0.48 0.40 0.46 0.56 0.50
Moderna Inc. 0.04 0.05 0.05 0.05 0.03
Pfizer Inc. 0.45 0.27 0.33 0.39 0.45
Regeneron Pharmaceuticals Inc. 0.09 0.11 0.13 0.20 0.06
Debt to Capital, Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.50 0.44 0.48 0.53 0.52
Debt to Capital, Industry
Health Care 0.45 0.42 0.44 0.47 0.48

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 34,917 ÷ 81,652 = 0.43

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. Thermo Fisher Scientific Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Capital (including Operating Lease Liability)

Thermo Fisher Scientific Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
Operating lease liabilities, current (included in Other accrued expenses) 263 272 266 184 167
Operating lease liabilities, noncurrent (included in Other long-term liabilities) 1,244 1,313 1,203 626 571
Total debt (including operating lease liability) 36,424 36,073 36,339 22,545 18,490
Total Thermo Fisher Scientific Inc. shareholders’ equity 46,735 43,978 40,793 34,507 29,675
Total capital (including operating lease liability) 83,159 80,051 77,132 57,052 48,165
Solvency Ratio
Debt to capital (including operating lease liability)1 0.44 0.45 0.47 0.40 0.38
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
AbbVie Inc. 0.85 0.79 0.83 0.87 1.14
Amgen Inc. 0.91 0.92 0.84 0.78 0.76
Bristol-Myers Squibb Co. 0.58 0.57 0.56 0.58 0.48
Danaher Corp. 0.27 0.29 0.34 0.36 0.43
Eli Lilly & Co. 0.71 0.61 0.66 0.75 0.86
Gilead Sciences Inc. 0.53 0.55 0.56 0.64 0.53
Johnson & Johnson 0.31 0.35 0.32 0.36 0.33
Merck & Co. Inc. 0.49 0.41 0.48 0.57 0.51
Moderna Inc. 0.08 0.06 0.06 0.08 0.10
Pfizer Inc. 0.46 0.29 0.35 0.39 0.46
Regeneron Pharmaceuticals Inc. 0.10 0.11 0.13 0.20 0.07
Debt to Capital (including Operating Lease Liability), Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.50 0.45 0.49 0.54 0.53
Debt to Capital (including Operating Lease Liability), Industry
Health Care 0.46 0.44 0.46 0.49 0.49

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 36,424 ÷ 83,159 = 0.44

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. Thermo Fisher Scientific Inc. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.

Debt to Assets

Thermo Fisher Scientific Inc., debt to assets calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
 
Total assets 98,726 97,154 95,123 69,052 58,381
Solvency Ratio
Debt to assets1 0.35 0.35 0.37 0.31 0.30
Benchmarks
Debt to Assets, Competitors2
AbbVie Inc. 0.44 0.46 0.52 0.57 0.75
Amgen Inc. 0.67 0.60 0.54 0.52 0.50
Bristol-Myers Squibb Co. 0.42 0.41 0.41 0.43 0.36
Danaher Corp. 0.22 0.23 0.27 0.28 0.35
Eli Lilly & Co. 0.39 0.33 0.35 0.36 0.39
Gilead Sciences Inc. 0.40 0.40 0.39 0.46 0.40
Johnson & Johnson 0.18 0.21 0.19 0.20 0.18
Merck & Co. Inc. 0.33 0.28 0.31 0.35 0.31
Moderna Inc. 0.03 0.04 0.03 0.02 0.02
Pfizer Inc. 0.32 0.18 0.21 0.26 0.31
Regeneron Pharmaceuticals Inc. 0.08 0.09 0.11 0.16 0.05
Debt to Assets, Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.34 0.30 0.32 0.36 0.36
Debt to Assets, Industry
Health Care 0.29 0.27 0.28 0.30 0.31

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 34,917 ÷ 98,726 = 0.35

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. Thermo Fisher Scientific Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Assets (including Operating Lease Liability)

Thermo Fisher Scientific Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Short-term obligations and current maturities of long-term obligations 3,609 5,579 2,537 2,628 676
Long-term obligations, excluding current maturities 31,308 28,909 32,333 19,107 17,076
Total debt 34,917 34,488 34,870 21,735 17,752
Operating lease liabilities, current (included in Other accrued expenses) 263 272 266 184 167
Operating lease liabilities, noncurrent (included in Other long-term liabilities) 1,244 1,313 1,203 626 571
Total debt (including operating lease liability) 36,424 36,073 36,339 22,545 18,490
 
Total assets 98,726 97,154 95,123 69,052 58,381
Solvency Ratio
Debt to assets (including operating lease liability)1 0.37 0.37 0.38 0.33 0.32
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
AbbVie Inc. 0.45 0.46 0.53 0.58 0.75
Amgen Inc. 0.67 0.61 0.56 0.53 0.51
Bristol-Myers Squibb Co. 0.44 0.42 0.42 0.44 0.37
Danaher Corp. 0.23 0.25 0.28 0.29 0.36
Eli Lilly & Co. 0.41 0.34 0.36 0.37 0.41
Gilead Sciences Inc. 0.41 0.41 0.40 0.47 0.41
Johnson & Johnson 0.18 0.22 0.19 0.21 0.18
Merck & Co. Inc. 0.34 0.29 0.33 0.37 0.32
Moderna Inc. 0.07 0.05 0.04 0.03 0.09
Pfizer Inc. 0.33 0.20 0.23 0.27 0.32
Regeneron Pharmaceuticals Inc. 0.08 0.09 0.11 0.16 0.05
Debt to Assets (including Operating Lease Liability), Sector
Pharmaceuticals, Biotechnology & Life Sciences 0.35 0.31 0.33 0.37 0.36
Debt to Assets (including Operating Lease Liability), Industry
Health Care 0.31 0.29 0.30 0.32 0.33

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 36,424 ÷ 98,726 = 0.37

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. Thermo Fisher Scientific Inc. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023.

Financial Leverage

Thermo Fisher Scientific Inc., financial leverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Total assets 98,726 97,154 95,123 69,052 58,381
Total Thermo Fisher Scientific Inc. shareholders’ equity 46,735 43,978 40,793 34,507 29,675
Solvency Ratio
Financial leverage1 2.11 2.21 2.33 2.00 1.97
Benchmarks
Financial Leverage, Competitors2
AbbVie Inc. 13.00 8.04 9.51 11.51
Amgen Inc. 15.59 17.79 9.13 6.69 6.17
Bristol-Myers Squibb Co. 3.23 3.12 3.04 3.13 2.52
Danaher Corp. 1.58 1.68 1.84 1.92 2.05
Eli Lilly & Co. 5.94 4.65 5.44 8.27 15.07
Gilead Sciences Inc. 2.72 2.97 3.23 3.76 2.74
Johnson & Johnson 2.44 2.44 2.46 2.76 2.65
Merck & Co. Inc. 2.84 2.37 2.77 3.62 3.26
Moderna Inc. 1.33 1.35 1.74 2.86 1.35
Pfizer Inc. 2.54 2.06 2.35 2.44 2.65
Regeneron Pharmaceuticals Inc. 1.27 1.29 1.36 1.56 1.34
Financial Leverage, Sector
Pharmaceuticals, Biotechnology & Life Sciences 2.86 2.61 2.85 3.20 3.10
Financial Leverage, Industry
Health Care 2.80 2.66 2.77 2.95 2.93

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Financial leverage = Total assets ÷ Total Thermo Fisher Scientific Inc. shareholders’ equity
= 98,726 ÷ 46,735 = 2.11

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. Thermo Fisher Scientific Inc. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.

Interest Coverage

Thermo Fisher Scientific Inc., interest coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net income attributable to Thermo Fisher Scientific Inc. 5,995 6,950 7,725 6,375 3,696
Add: Net income attributable to noncontrolling interest (40) 10 3 2 2
Add: Income tax expense 284 703 1,109 850 374
Add: Interest expense 1,375 726 536 553 676
Earnings before interest and tax (EBIT) 7,614 8,389 9,373 7,780 4,748
Solvency Ratio
Interest coverage1 5.54 11.56 17.49 14.07 7.02
Benchmarks
Interest Coverage, Competitors2
AbbVie Inc. 3.81 7.04 6.36 2.38 5.72
Amgen Inc. 3.73 6.22 6.60 7.44 8.09
Bristol-Myers Squibb Co. 8.24 7.26 7.07 -3.84 8.58
Danaher Corp. 18.64 40.30 32.92 17.35 31.44
Eli Lilly & Co. 14.49 21.53 19.12 21.11 14.15
Gilead Sciences Inc. 8.27 7.22 9.27 2.70 6.19
Johnson & Johnson 20.51 79.71 125.46 83.07 55.49
Merck & Co. Inc. 2.65 18.09 18.22 11.58 13.84
Moderna Inc. -102.74 331.17 739.06 -74.31 -76.85
Pfizer Inc. 1.48 29.05 19.83 6.17 12.23
Regeneron Pharmaceuticals Inc. 58.52 82.80 163.75 67.97 81.43
Interest Coverage, Sector
Pharmaceuticals, Biotechnology & Life Sciences 5.82 15.99 16.09 7.20 11.16
Interest Coverage, Industry
Health Care 6.75 12.97 12.85 7.67 8.84

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 7,614 ÷ 1,375 = 5.54

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. Thermo Fisher Scientific Inc. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.

Fixed Charge Coverage

Thermo Fisher Scientific Inc., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net income attributable to Thermo Fisher Scientific Inc. 5,995 6,950 7,725 6,375 3,696
Add: Net income attributable to noncontrolling interest (40) 10 3 2 2
Add: Income tax expense 284 703 1,109 850 374
Add: Interest expense 1,375 726 536 553 676
Earnings before interest and tax (EBIT) 7,614 8,389 9,373 7,780 4,748
Add: Operating lease costs 355 351 254 224 208
Earnings before fixed charges and tax 7,969 8,740 9,627 8,004 4,956
 
Interest expense 1,375 726 536 553 676
Operating lease costs 355 351 254 224 208
Fixed charges 1,730 1,077 790 777 884
Solvency Ratio
Fixed charge coverage1 4.61 8.12 12.19 10.30 5.61
Benchmarks
Fixed Charge Coverage, Competitors2
AbbVie Inc. 3.59 6.54 5.90 2.28 5.42
Amgen Inc. 3.55 5.52 5.67 6.48 7.12
Bristol-Myers Squibb Co. 6.69 6.30 6.01 -3.08 7.10
Danaher Corp. 9.55 13.41 10.85 7.10 8.38
Eli Lilly & Co. 10.98 15.17 13.33 15.06 10.18
Gilead Sciences Inc. 7.18 6.30 8.15 2.45 5.46
Johnson & Johnson 16.50 38.72 48.16 33.93 28.72
Merck & Co. Inc. 2.27 13.69 13.08 8.47 10.31
Moderna Inc. -30.29 125.35 317.31 -26.75 -20.79
Pfizer Inc. 1.34 18.79 14.22 4.98 9.88
Regeneron Pharmaceuticals Inc. 46.55 68.67 138.96 57.70 60.98
Fixed Charge Coverage, Sector
Pharmaceuticals, Biotechnology & Life Sciences 4.90 12.28 12.38 5.83 8.93
Fixed Charge Coverage, Industry
Health Care 5.27 9.19 9.09 5.67 6.58

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 7,969 ÷ 1,730 = 4.61

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. Thermo Fisher Scientific Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023.