Regeneron Pharmaceuticals Inc. (NASDAQ:REGN)

The financial ratios demonstrate several notable trends over the observed periods. There is a consistent decline in the measures of indebtedness, indicating a progressive reduction in reliance on debt financing.

Debt to Equity

This ratio steadily decreased from 0.23 in March 2021 to 0.09 by September 2025, implying a significant reduction in debt relative to shareholders' equity. This trend suggests strengthened equity financing or debt repayment efforts over the timeframe.

Debt to Capital

The debt to capital ratio follows a similar downward trajectory, moving from 0.18 in the first quarter of 2021 to 0.08 in the third quarter of 2025. This confirms an overall decrease in the proportion of total capital financed through debt.

Debt to Assets

There is a consistent decrease from 0.15 to 0.07 over the report periods. The decrease indicates that debt constitutes a smaller portion of the company's total asset base as time progresses, implying reduced financial risk.

Financial Leverage

This ratio shows a modest decline from 1.48 to approximately 1.30 by the end of the period, revealing a slight reduction in the use of debt to finance assets relative to equity. Although less marked than other debt ratios, the trend suggests gradual deleveraging.

Interest Coverage

Interest coverage ratios experienced substantial fluctuations. The ratio peaked at 163.75 in December 2021, indicating significant earnings capability relative to interest obligations, then declined to near 58.52 by December 2023. Following this dip, a marked recovery is observed, climbing to 134.19 by September 2025, reflecting improved earnings strength relative to interest expenses in the latter periods. This oscillation may hint at variations in earnings or interest expenses during the periods.

In summary, the company exhibits a clear pattern of decreasing leverage and indebtedness across multiple metrics, which can be interpreted as a strengthening of the balance sheet with lower financial risk over time. The interest coverage ratio's volatile pattern, with a decline followed by recovery, suggests periods of varying operational earnings or shifting interest burdens. Overall, the financial profile portrays enhanced solvency and the capacity to meet interest obligations more comfortably towards the end of the data span.

Total Debt

The total debt of the company has remained relatively stable over the observed periods, with only slight incremental increases. From March 2021 to September 2025, total debt rose marginally from approximately $2.70 billion to about $2.71 billion, indicating a consistent and controlled debt level without significant fluctuations or major new borrowings.

Stockholders’ Equity

Stockholders’ equity demonstrates a clear upward trend throughout the timeline. Starting at nearly $12.0 billion in March 2021, it consistently increased, reaching approximately $30.96 billion by September 2025. This growth reflects an overall increase in the company's net assets, potentially due to retained earnings, capital injections, or appreciation in asset values, signifying strengthening financial health and an expanding equity base.

Debt to Equity Ratio

The debt to equity ratio steadily declined over the periods examined, moving from 0.23 at the beginning of the timeline down to about 0.09 by the end. This decreasing ratio suggests that the company has been reducing its financial leverage and reliance on debt relative to equity. The trend indicates a progressively stronger equity position compared to debt, which may be viewed positively from a risk and creditworthiness perspective.

Total Debt

The total debt level of the company remained largely stable over the entire period, with a slight upward trend observed. The debt increased marginally from approximately 2,696,700 thousand USD at the start of the period to around 2,705,500 thousand USD towards the end, reflecting minimal fluctuations and a generally steady debt position.

Total Capital

Total capital demonstrated a consistent and strong upward trajectory throughout the timeframe. Starting at roughly 14,673,700 thousand USD, it rose significantly to approximately 33,663,300 thousand USD by the last observed period. This considerable increase indicates substantial growth in the company's overall capital base, driven possibly by retained earnings, equity issuance, or other capital enhancements.

Debt to Capital Ratio

The debt to capital ratio showed a clear and progressive decline from 0.18 to 0.08 over the available periods. This decreasing ratio suggests a reduction in leverage, implying that the company is financing a smaller proportion of its capital through debt relative to the total capital. Such a trend points toward improving financial stability and a stronger equity position, highlighting prudent capital structure management.

The analysis of the financial data reveals several notable trends regarding the company's debt and asset structure over multiple quarters from March 2021 through September 2025.

Total Debt

Total debt remains relatively stable throughout the entire period, with minor incremental increases quarter over quarter. The debt starts at approximately $2.7 billion and gradually rises to around $2.7 billion by the end of the observed timeframe, indicating a consistent approach to debt management without significant borrowing or repayment fluctuations.

Total Assets

Total assets show a consistent and substantial upward trend across all quarters. Beginning at approximately $17.8 billion, assets increase steadily to nearly $40.2 billion by the last period presented. This growth suggests continual expansion and accumulation of resources, reflecting either investment, operational growth, or capital appreciation.

Debt to Assets Ratio

The debt-to-assets ratio demonstrates a clear downward trend over the period. Starting at 0.15 in early 2021, this ratio decreases consistently to about 0.07 by mid to late 2025. This decline indicates that the growth in assets is significantly outpacing the increase in debt, resulting in improved financial leverage and potentially greater financial stability.

In summary, the company exhibits strong asset growth while maintaining a nearly flat total debt profile. The resulting reduction in the debt-to-assets ratio suggests a strengthening balance sheet with lower relative financial risk over time. This pattern is indicative of enhanced solvency and a cautious approach to leverage, likely supporting long-term financial sustainability.

The analysis of the financial data reveals a consistent upward trend in total assets over the periods observed. Starting from US$17.77 billion at the end of the first quarter of 2021, total assets increase steadily, reaching approximately US$40.17 billion by the third quarter of 2025. This growth suggests an expansion in the company's resource base over nearly five years.

Stockholders' equity also shows a sustained increase throughout the same period. From about US$11.98 billion in the first quarter of 2021, equity rises to approximately US$30.96 billion by the third quarter of 2025. This indicates that the company's net worth is growing, supporting a stronger equity base to fund its assets.

The financial leverage ratio, defined as total assets divided by stockholders’ equity, exhibits a mild downward trend initially, decreasing from 1.48 in March 2021 to around 1.27 by December 2023. This decline implies a gradually reduced reliance on debt relative to equity in financing assets during this period. However, post-2023, the leverage ratio stabilizes and fluctuates slightly around 1.28 to 1.30, indicating a relatively steady capital structure approach in the most recent periods.

Total Assets

Show steady growth from roughly US$17.7 billion in early 2021 to about US$40.2 billion by late 2025, reflecting consistent asset accumulation.

Stockholders’ Equity

Increased substantially from near US$12 billion to almost US$31 billion over the same timeframe, highlighting enhanced shareholder value.

Financial Leverage Ratio

Decreased modestly in the early periods indicating a reduction in relative debt usage, then stabilized around 1.28 to 1.30 from 2024 onwards, suggesting a balanced approach to financing.

Overall, the company demonstrates strong asset growth accompanied by an expanding equity base, with a cautiously managed increase in financial leverage. This pattern reflects a strategic emphasis on building financial strength while maintaining stable capital leverage over time.

Earnings before interest and tax (EBIT)

The EBIT figures exhibit considerable volatility across the reported quarters. Beginning at 1,267,600 thousand US dollars in the first quarter of 2021, there is a sharp increase to 3,767,200 thousand by the second quarter of 2021. This is followed by a notable decline and fluctuations through 2022, with values ranging approximately between 976,300 and 1,525,100 thousand US dollars. In 2023, EBIT continues to show variability, generally maintaining a range between 876,000 and 1,165,900 thousand US dollars. Into 2024 and early 2025, there is some recovery and upward movement, with the highest value of 1,642,900 thousand US dollars spotted in the middle of 2024, followed by some decreases and increases, culminating in 1,782,600 thousand in the third quarter of 2025. Overall, the pattern suggests cyclical fluctuations combined with intermittent periods of growth and contraction in operational profitability.

Interest expense

Interest expenses remain relatively stable in the earlier periods, averaging between 13,600 and 17,400 thousand US dollars through 2021 and 2022. Beginning in 2023, the interest expense exhibits more variability, generally decreasing through to mid-2025 but with some spikes, such as the 19,300 thousand US dollars recorded in the third quarter of 2025. This downward trend through mid-2025 might indicate improved financial management or refinancing benefits, but notable fluctuations suggest occasional increased borrowing costs or changes in debt structure.

Interest coverage ratio

The interest coverage ratio shows a declining trend over the full period, starting from very high levels above 100 in early 2021, reaching peaks such as 163.75 in the last quarter of 2021. Subsequently, it gradually decreases to values in the high 50s to low 60s during parts of 2023 and early 2024. From that point forward, the ratio improves steadily, reaching levels over 130 by mid-2025. This pattern indicates that, despite fluctuations in EBIT and interest expense, the company's ability to cover interest obligations weakened through 2022 and early 2023 but then improved significantly thereafter. The high early ratios suggest a strong buffer of earnings over interest costs initially, with some compression during the mid-period and recovery later.