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)
Charter Communications 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. | Charter Communications Inc. debt to equity ratio deteriorated 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. | Charter Communications Inc. debt to equity ratio (including operating lease liability) deteriorated 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. | Charter Communications Inc. debt to capital ratio deteriorated 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. | Charter Communications Inc. debt to capital ratio (including operating lease liability) deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Charter Communications Inc. debt to assets ratio deteriorated 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. | Charter Communications Inc. debt to assets ratio (including operating lease liability) deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Charter Communications Inc. financial leverage ratio increased 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. | Charter Communications 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. | Charter Communications Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Total Charter shareholders’ equity | 14,050) | 23,805) | 31,445) | 36,285) | 39,084) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 6.52 | 3.48 | 2.51 | 2.01 | 1.80 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Alphabet Inc. | 0.06 | 0.07 | 0.02 | 0.02 | 0.03 | |
| Comcast Corp. | 0.99 | 1.15 | 1.24 | 1.56 | 0.94 | |
| Meta Platforms Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Netflix Inc. | 0.97 | 1.47 | 1.95 | 1.98 | 1.81 | |
| Walt Disney Co. | 0.62 | 0.71 | 0.53 | 0.43 | 0.62 | |
| Debt to Equity, Sector | ||||||
| Media & Entertainment | 0.46 | 0.50 | 0.48 | 0.52 | 0.45 | |
| Debt to Equity, Industry | ||||||
| Communication Services | 0.75 | 0.75 | 0.70 | 0.78 | 0.82 | |
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 ÷ Total Charter shareholders’ equity
= 91,561 ÷ 14,050 = 6.52
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. | Charter Communications Inc. debt to equity ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Debt to Equity (including Operating Lease Liability)
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Operating lease liabilities, current portion | 269) | 235) | 214) | —) | —) | |
| Operating lease liabilities, long-term portion (included within Other long-term liabilities) | 1,182) | 1,110) | 979) | —) | —) | |
| Total debt (including operating lease liability) | 93,012) | 84,097) | 80,271) | 72,827) | 70,231) | |
| Total Charter shareholders’ equity | 14,050) | 23,805) | 31,445) | 36,285) | 39,084) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 6.62 | 3.53 | 2.55 | 2.01 | 1.80 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Alphabet Inc. | 0.11 | 0.13 | 0.08 | 0.02 | 0.03 | |
| Comcast Corp. | 1.06 | 1.20 | 1.29 | 1.56 | 0.94 | |
| Meta Platforms Inc. | 0.12 | 0.09 | 0.11 | 0.00 | 0.00 | |
| Netflix Inc. | 1.14 | 1.67 | 2.16 | 1.98 | 1.81 | |
| Walt Disney Co. | 0.66 | 0.75 | 0.53 | 0.43 | 0.62 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Media & Entertainment | 0.53 | 0.56 | 0.54 | 0.52 | 0.45 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Communication Services | 0.88 | 0.88 | 0.81 | 0.78 | 0.82 | |
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) ÷ Total Charter shareholders’ equity
= 93,012 ÷ 14,050 = 6.62
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. | Charter Communications Inc. debt to equity ratio (including operating lease liability) deteriorated from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Total Charter shareholders’ equity | 14,050) | 23,805) | 31,445) | 36,285) | 39,084) | |
| Total capital | 105,611) | 106,557) | 110,523) | 109,112) | 109,315) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.87 | 0.78 | 0.72 | 0.67 | 0.64 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Alphabet Inc. | 0.06 | 0.06 | 0.02 | 0.02 | 0.03 | |
| Comcast Corp. | 0.50 | 0.53 | 0.55 | 0.61 | 0.48 | |
| Meta Platforms Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Netflix Inc. | 0.49 | 0.60 | 0.66 | 0.66 | 0.64 | |
| Walt Disney Co. | 0.38 | 0.41 | 0.35 | 0.30 | 0.38 | |
| Debt to Capital, Sector | ||||||
| Media & Entertainment | 0.32 | 0.33 | 0.33 | 0.34 | 0.31 | |
| Debt to Capital, Industry | ||||||
| Communication Services | 0.43 | 0.43 | 0.41 | 0.44 | 0.45 | |
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
= 91,561 ÷ 105,611 = 0.87
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. | Charter Communications Inc. debt to capital ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Debt to Capital (including Operating Lease Liability)
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Operating lease liabilities, current portion | 269) | 235) | 214) | —) | —) | |
| Operating lease liabilities, long-term portion (included within Other long-term liabilities) | 1,182) | 1,110) | 979) | —) | —) | |
| Total debt (including operating lease liability) | 93,012) | 84,097) | 80,271) | 72,827) | 70,231) | |
| Total Charter shareholders’ equity | 14,050) | 23,805) | 31,445) | 36,285) | 39,084) | |
| Total capital (including operating lease liability) | 107,062) | 107,902) | 111,716) | 109,112) | 109,315) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.87 | 0.78 | 0.72 | 0.67 | 0.64 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Alphabet Inc. | 0.10 | 0.11 | 0.07 | 0.02 | 0.03 | |
| Comcast Corp. | 0.52 | 0.55 | 0.56 | 0.61 | 0.48 | |
| Meta Platforms Inc. | 0.10 | 0.08 | 0.10 | 0.00 | 0.00 | |
| Netflix Inc. | 0.53 | 0.63 | 0.68 | 0.66 | 0.64 | |
| Walt Disney Co. | 0.40 | 0.43 | 0.35 | 0.30 | 0.38 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Media & Entertainment | 0.35 | 0.36 | 0.35 | 0.34 | 0.31 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Communication Services | 0.47 | 0.47 | 0.45 | 0.44 | 0.45 | |
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)
= 93,012 ÷ 107,062 = 0.87
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. | Charter Communications Inc. debt to capital ratio (including operating lease liability) deteriorated from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Total assets | 142,491) | 144,206) | 148,188) | 146,130) | 146,623) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.64 | 0.57 | 0.53 | 0.50 | 0.48 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Alphabet Inc. | 0.04 | 0.05 | 0.02 | 0.02 | 0.02 | |
| Comcast Corp. | 0.34 | 0.38 | 0.39 | 0.44 | 0.35 | |
| Meta Platforms Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |
| Netflix Inc. | 0.35 | 0.42 | 0.43 | 0.40 | 0.34 | |
| Walt Disney Co. | 0.27 | 0.29 | 0.24 | 0.21 | 0.27 | |
| Debt to Assets, Sector | ||||||
| Media & Entertainment | 0.23 | 0.24 | 0.24 | 0.26 | 0.23 | |
| Debt to Assets, Industry | ||||||
| Communication Services | 0.29 | 0.29 | 0.28 | 0.31 | 0.32 | |
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
= 91,561 ÷ 142,491 = 0.64
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. | Charter Communications Inc. debt to assets ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Debt to Assets (including Operating Lease Liability)
Charter Communications 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 millions) | ||||||
| Current portion of long-term debt | 2,997) | 1,008) | 3,500) | 3,290) | 2,045) | |
| Long-term debt, less current portion | 88,564) | 81,744) | 75,578) | 69,537) | 68,186) | |
| Total debt | 91,561) | 82,752) | 79,078) | 72,827) | 70,231) | |
| Operating lease liabilities, current portion | 269) | 235) | 214) | —) | —) | |
| Operating lease liabilities, long-term portion (included within Other long-term liabilities) | 1,182) | 1,110) | 979) | —) | —) | |
| Total debt (including operating lease liability) | 93,012) | 84,097) | 80,271) | 72,827) | 70,231) | |
| Total assets | 142,491) | 144,206) | 148,188) | 146,130) | 146,623) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.65 | 0.58 | 0.54 | 0.50 | 0.48 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Alphabet Inc. | 0.08 | 0.09 | 0.06 | 0.02 | 0.02 | |
| Comcast Corp. | 0.37 | 0.40 | 0.41 | 0.44 | 0.35 | |
| Meta Platforms Inc. | 0.09 | 0.07 | 0.08 | 0.00 | 0.00 | |
| Netflix Inc. | 0.41 | 0.47 | 0.48 | 0.40 | 0.34 | |
| Walt Disney Co. | 0.29 | 0.31 | 0.24 | 0.21 | 0.27 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Media & Entertainment | 0.26 | 0.27 | 0.26 | 0.26 | 0.23 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Communication Services | 0.35 | 0.34 | 0.32 | 0.31 | 0.32 | |
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
= 93,012 ÷ 142,491 = 0.65
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. | Charter Communications Inc. debt to assets ratio (including operating lease liability) deteriorated from 2019 to 2020 and from 2020 to 2021. |
Financial Leverage
Charter Communications 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 millions) | ||||||
| Total assets | 142,491) | 144,206) | 148,188) | 146,130) | 146,623) | |
| Total Charter shareholders’ equity | 14,050) | 23,805) | 31,445) | 36,285) | 39,084) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 10.14 | 6.06 | 4.71 | 4.03 | 3.75 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Alphabet Inc. | 1.43 | 1.44 | 1.37 | 1.31 | 1.29 | |
| Comcast Corp. | 2.87 | 3.03 | 3.18 | 3.51 | 2.72 | |
| Meta Platforms Inc. | 1.33 | 1.24 | 1.32 | 1.16 | 1.14 | |
| Netflix Inc. | 2.81 | 3.55 | 4.48 | 4.96 | 5.31 | |
| Walt Disney Co. | 2.30 | 2.41 | 2.18 | 2.02 | 2.32 | |
| Financial Leverage, Sector | ||||||
| Media & Entertainment | 2.02 | 2.03 | 2.04 | 2.01 | 1.92 | |
| Financial Leverage, Industry | ||||||
| Communication Services | 2.55 | 2.55 | 2.51 | 2.51 | 2.56 | |
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 ÷ Total Charter shareholders’ equity
= 142,491 ÷ 14,050 = 10.14
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. | Charter Communications Inc. financial leverage ratio increased from 2019 to 2020 and from 2020 to 2021. |
Interest Coverage
Charter Communications 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 millions) | ||||||
| Net income attributable to Charter shareholders | 4,654) | 3,222) | 1,668) | 1,230) | 9,895) | |
| Add: Net income attributable to noncontrolling interest | 666) | 454) | 324) | 276) | 220) | |
| Add: Income tax expense | 1,068) | 626) | 439) | 180) | (9,087) | |
| Add: Interest expense, net | 4,037) | 3,848) | 3,797) | 3,540) | 3,090) | |
| Earnings before interest and tax (EBIT) | 10,425) | 8,150) | 6,228) | 5,226) | 4,118) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 2.58 | 2.12 | 1.64 | 1.48 | 1.33 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Alphabet Inc. | 263.24 | 357.16 | 397.25 | 307.25 | 250.48 | |
| Comcast Corp. | 5.46 | 4.07 | 4.72 | 5.30 | 5.97 | |
| Meta Platforms Inc. | 3,153.27 | 2,371.00 | 1,241.60 | 2,818.89 | 3,433.33 | |
| Netflix Inc. | 8.63 | 5.17 | 4.29 | 3.92 | 3.04 | |
| Walt Disney Co. | 2.66 | -0.06 | 12.19 | 22.60 | 28.20 | |
| Interest Coverage, Sector | ||||||
| Media & Entertainment | 16.64 | 10.19 | 10.64 | 12.21 | 12.14 | |
| Interest Coverage, Industry | ||||||
| Communication Services | 10.37 | 5.85 | 6.91 | 7.30 | 6.94 | |
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
= 10,425 ÷ 4,037 = 2.58
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. | Charter Communications Inc. interest coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |
Fixed Charge Coverage
Charter Communications 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 millions) | ||||||
| Net income attributable to Charter shareholders | 4,654) | 3,222) | 1,668) | 1,230) | 9,895) | |
| Add: Net income attributable to noncontrolling interest | 666) | 454) | 324) | 276) | 220) | |
| Add: Income tax expense | 1,068) | 626) | 439) | 180) | (9,087) | |
| Add: Interest expense, net | 4,037) | 3,848) | 3,797) | 3,540) | 3,090) | |
| Earnings before interest and tax (EBIT) | 10,425) | 8,150) | 6,228) | 5,226) | 4,118) | |
| Add: Operating lease expenses | 463) | 439) | 428) | 382) | 321) | |
| Earnings before fixed charges and tax | 10,888) | 8,589) | 6,656) | 5,608) | 4,439) | |
| Interest expense, net | 4,037) | 3,848) | 3,797) | 3,540) | 3,090) | |
| Operating lease expenses | 463) | 439) | 428) | 382) | 321) | |
| Fixed charges | 4,500) | 4,287) | 4,225) | 3,922) | 3,411) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 2.42 | 2.00 | 1.58 | 1.43 | 1.30 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Alphabet Inc. | 25.06 | 16.92 | 17.10 | 25.69 | 23.49 | |
| Comcast Corp. | 4.48 | 3.47 | 4.00 | 4.53 | 4.90 | |
| Meta Platforms Inc. | 31.41 | 24.62 | 22.41 | 40.75 | 56.81 | |
| Netflix Inc. | 5.46 | 3.65 | 2.92 | 3.33 | 2.55 | |
| Walt Disney Co. | 2.07 | 0.32 | 6.94 | 10.14 | 11.03 | |
| Fixed Charge Coverage, Sector | ||||||
| Media & Entertainment | 10.04 | 6.57 | 6.90 | 8.49 | 8.40 | |
| Fixed Charge Coverage, Industry | ||||||
| Communication Services | 5.63 | 3.58 | 4.29 | 4.63 | 4.35 | |
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
= 10,888 ÷ 4,500 = 2.42
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. | Charter Communications Inc. fixed charge coverage ratio improved from 2019 to 2020 and from 2020 to 2021. |