Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
AT&T Inc., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The solvency profile is characterized by relative stability in structural leverage ratios, contrasted by a period of significant volatility in interest coverage capacity between late 2022 and late 2023.
- Debt-to-Equity and Capital Structure
- Debt to equity ratios demonstrate a fluctuating but contained trend, ranging from a low of 1.09 in September 2022 to a peak of 1.41 in June 2023. When operating lease liabilities are included, the ratio remains consistently higher, peaking at 1.59. Debt to capital ratios exhibit minimal variance, generally maintaining a corridor between 0.52 and 0.58, suggesting a consistent approach to the balance of debt and equity financing over the analyzed period.
- Asset-Based Solvency
- Debt to assets ratios remain stable, oscillating between 0.31 and 0.36. The inclusion of operating lease liabilities marginally increases these figures to a range of 0.36 to 0.40. This consistency indicates that the proportion of assets financed through debt has remained largely unchanged, reflecting a steady asset-to-debt relationship.
- Financial Leverage
- A moderate increase in financial leverage is observed from the start of 2022, where it stood at 3.41, rising to a peak of 4.13 by December 31, 2022. Following this peak, the leverage ratio stabilized, fluctuating within a narrower band between 3.78 and 3.88 through June 2026, indicating a slightly higher but steady level of total asset utilization relative to equity.
- Interest Servicing Capacity
- The interest coverage ratio shows the most significant variance of all solvency metrics. After maintaining strengths above 4.50 in early 2022, a severe contraction occurred starting December 31, 2022, with the ratio dropping to 0.49 and reaching a critical low of 0.04 by September 30, 2023. This indicates a period of temporary diminished capacity to service interest obligations. A robust recovery followed, with the ratio returning to a range of 3.10 to 5.20 from December 2023 through mid-2026.
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Debt Ratios
Coverage Ratios
Debt to Equity
AT&T Inc., debt to equity calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Stockholders’ equity attributable to AT&T | 110,444) | 109,660) | 110,533) | 110,708) | 105,272) | 103,744) | 104,372) | 102,351) | 105,310) | 104,540) | 103,297) | 103,703) | 101,903) | 99,396) | 97,500) | 122,406) | 117,746) | 169,036) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to equity1 | 1.30 | 1.26 | 1.23 | 1.26 | 1.26 | 1.22 | 1.18 | 1.26 | 1.24 | 1.27 | 1.33 | 1.33 | 1.41 | 1.38 | 1.39 | 1.09 | 1.15 | 1.23 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 1.54 | 1.58 | 1.50 | 1.43 | 1.40 | 1.44 | 1.31 | 1.28 | 1.28 | 1.30 | 1.20 | 1.20 | 1.22 | 1.15 | 1.07 | 1.09 | 1.05 | 1.07 | ||||||
| Verizon Communications Inc. | — | 1.67 | 1.51 | 1.40 | 1.42 | 1.43 | 1.45 | 1.56 | 1.55 | 1.61 | 1.63 | 1.51 | 1.60 | 1.65 | 1.65 | 1.69 | 1.73 | 1.83 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity attributable to AT&T
= 143,954 ÷ 110,444 = 1.30
2 Click competitor name to see calculations.
The solvency profile exhibits a period of significant volatility followed by a phase of relative stabilization in leverage and equity levels. A notable deleveraging event occurred in the first half of 2022, after which the capital structure shifted toward a more consistent, albeit leveraged, equilibrium.
- Total Debt Trends
- A sharp reduction in total debt is observed between March 2022 and June 2022, with obligations decreasing from 207,558 million to 135,957 million. Following this contraction, debt levels remained largely range-bound between 123,532 million and 143,280 million. A moderate upward trend is noted toward the end of the period, with debt increasing to 143,954 million by June 2026.
- Stockholders’ Equity Trends
- Equity attributable to the company experienced a substantial decline from 169,036 million in March 2022 to a low of 97,500 million by December 2022. Subsequent quarters show a gradual recovery and plateau, with equity values stabilizing between 102,351 million and 110,708 million from 2023 through June 2026.
- Debt to Equity Ratio Analysis
- The debt to equity ratio demonstrates periodic fluctuation, reflecting the interplay between debt reduction and equity volatility. After reaching a low of 1.09 in September 2022, the ratio peaked at 1.41 in June 2023. For the remaining analyzed period, the ratio generally oscillates between 1.18 and 1.30, indicating a consistent long-term leverage position averaging approximately 1.25.
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Debt to Equity (including Operating Lease Liability)
AT&T Inc., debt to equity (including operating lease liability) calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Noncurrent operating lease liabilities | 18,934) | 18,907) | 18,943) | 19,025) | 17,762) | 17,433) | 17,391) | 17,331) | 17,174) | 17,291) | 17,568) | 17,730) | 18,311) | 18,413) | 18,659) | 18,741) | 18,749) | 20,917) | ||||||
| Total debt (including operating lease liability) | 162,888) | 157,314) | 155,043) | 158,493) | 150,073) | 143,594) | 140,923) | 146,343) | 147,778) | 150,055) | 154,899) | 155,733) | 161,591) | 155,897) | 154,549) | 152,221) | 154,706) | 228,475) | ||||||
| Stockholders’ equity attributable to AT&T | 110,444) | 109,660) | 110,533) | 110,708) | 105,272) | 103,744) | 104,372) | 102,351) | 105,310) | 104,540) | 103,297) | 103,703) | 101,903) | 99,396) | 97,500) | 122,406) | 117,746) | 169,036) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to equity (including operating lease liability)1 | 1.47 | 1.43 | 1.40 | 1.43 | 1.43 | 1.38 | 1.35 | 1.43 | 1.40 | 1.44 | 1.50 | 1.50 | 1.59 | 1.57 | 1.59 | 1.24 | 1.31 | 1.35 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 2.06 | 2.11 | 2.01 | 1.93 | 1.87 | 1.92 | 1.79 | 1.75 | 1.76 | 1.80 | 1.69 | 1.70 | 1.71 | 1.64 | 1.55 | 1.57 | 1.54 | 1.56 | ||||||
| Verizon Communications Inc. | — | 1.90 | 1.74 | 1.62 | 1.65 | 1.67 | 1.70 | 1.81 | 1.80 | 1.86 | 1.89 | 1.76 | 1.87 | 1.92 | 1.93 | 1.99 | 2.04 | 2.15 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity attributable to AT&T
= 162,888 ÷ 110,444 = 1.47
2 Click competitor name to see calculations.
An analysis of solvency trends reveals a significant shift in the balance sheet structure beginning in early 2022, followed by a phase of stabilization and subsequent gradual adjustments in debt and equity levels through mid-2026.
- Total Debt Trends
- A substantial reduction in total debt, including operating lease liabilities, occurred between March 2022 and June 2022, where levels fell from 228,475 million USD to 154,706 million USD. For the subsequent period, debt remained relatively stable, fluctuating between 140,923 million USD and 161,591 million USD. A gradual upward trend is observable from March 2025 through June 2026, with debt levels increasing to 162,888 million USD.
- Stockholders' Equity Dynamics
- Equity attributable to the company experienced a notable contraction during 2022, decreasing from 169,036 million USD in March to a low of 97,500 million USD by December. Following this period, equity entered a phase of modest growth and stabilization, generally maintaining a range between 102,351 million USD and 110,708 million USD from 2023 through mid-2026.
- Debt-to-Equity Ratio Analysis
- The debt-to-equity ratio exhibited volatility in the initial period, dropping to 1.24 in September 2022 before peaking at 1.59 in December 2022 and June 2023. A corrective downward trend was observed throughout 2024, with the ratio reaching a low of 1.35 by December 2024. However, the ratio began to trend upward again in 2025 and 2026, concluding the period at 1.47, which indicates a moderate increase in financial leverage relative to equity.
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Debt to Capital
AT&T Inc., debt to capital calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Stockholders’ equity attributable to AT&T | 110,444) | 109,660) | 110,533) | 110,708) | 105,272) | 103,744) | 104,372) | 102,351) | 105,310) | 104,540) | 103,297) | 103,703) | 101,903) | 99,396) | 97,500) | 122,406) | 117,746) | 169,036) | ||||||
| Total capital | 254,398) | 248,067) | 246,633) | 250,176) | 237,583) | 229,905) | 227,904) | 231,363) | 235,914) | 237,304) | 240,628) | 241,706) | 245,183) | 236,880) | 233,390) | 255,886) | 253,703) | 376,594) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to capital1 | 0.57 | 0.56 | 0.55 | 0.56 | 0.56 | 0.55 | 0.54 | 0.56 | 0.55 | 0.56 | 0.57 | 0.57 | 0.58 | 0.58 | 0.58 | 0.52 | 0.54 | 0.55 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 0.61 | 0.61 | 0.60 | 0.59 | 0.58 | 0.59 | 0.57 | 0.56 | 0.56 | 0.57 | 0.54 | 0.55 | 0.55 | 0.54 | 0.52 | 0.52 | 0.51 | 0.52 | ||||||
| Verizon Communications Inc. | — | 0.63 | 0.60 | 0.58 | 0.59 | 0.59 | 0.59 | 0.61 | 0.61 | 0.62 | 0.62 | 0.60 | 0.62 | 0.62 | 0.62 | 0.63 | 0.63 | 0.65 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to capital = Total debt ÷ Total capital
= 143,954 ÷ 254,398 = 0.57
2 Click competitor name to see calculations.
An analysis of the solvency metrics from March 2022 through June 2026 reveals a period of significant structural adjustment followed by a phase of relative stabilization in the company's capital structure.
- Total Debt Trends
- A substantial reduction in total debt occurred between March 31, 2022, and June 30, 2022, with obligations decreasing from 207,558 million USD to 135,957 million USD. Following this contraction, total debt levels remained relatively range-bound, fluctuating between a low of 123,532 million USD in December 2024 and a high of 143,954 million USD by June 30, 2026.
- Total Capital Dynamics
- Total capital mirrored the movements of total debt, experiencing a sharp decline from 376,594 million USD in March 2022 to 253,703 million USD in June 2022. For the remainder of the period, total capital showed a gradual downward trend, reaching a minimum of 227,904 million USD in December 2024, before trending upward to 254,398 million USD by mid-2026.
- Debt to Capital Ratio Analysis
- The debt to capital ratio exhibited notable stability despite the significant shifts in absolute debt and capital values. The ratio fluctuated within a narrow band between 0.52 and 0.58. A peak of 0.58 was maintained from December 2022 through June 2023, indicating a period of slightly higher leverage relative to the capital base. In the final quarters of the period, the ratio remained consistent, ending at 0.57 in June 2026, which suggests a disciplined approach to maintaining a stable capital structure.
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Debt to Capital (including Operating Lease Liability)
AT&T Inc., debt to capital (including operating lease liability) calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Noncurrent operating lease liabilities | 18,934) | 18,907) | 18,943) | 19,025) | 17,762) | 17,433) | 17,391) | 17,331) | 17,174) | 17,291) | 17,568) | 17,730) | 18,311) | 18,413) | 18,659) | 18,741) | 18,749) | 20,917) | ||||||
| Total debt (including operating lease liability) | 162,888) | 157,314) | 155,043) | 158,493) | 150,073) | 143,594) | 140,923) | 146,343) | 147,778) | 150,055) | 154,899) | 155,733) | 161,591) | 155,897) | 154,549) | 152,221) | 154,706) | 228,475) | ||||||
| Stockholders’ equity attributable to AT&T | 110,444) | 109,660) | 110,533) | 110,708) | 105,272) | 103,744) | 104,372) | 102,351) | 105,310) | 104,540) | 103,297) | 103,703) | 101,903) | 99,396) | 97,500) | 122,406) | 117,746) | 169,036) | ||||||
| Total capital (including operating lease liability) | 273,332) | 266,974) | 265,576) | 269,201) | 255,345) | 247,338) | 245,295) | 248,694) | 253,088) | 254,595) | 258,196) | 259,436) | 263,494) | 255,293) | 252,049) | 274,627) | 272,452) | 397,511) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to capital (including operating lease liability)1 | 0.60 | 0.59 | 0.58 | 0.59 | 0.59 | 0.58 | 0.57 | 0.59 | 0.58 | 0.59 | 0.60 | 0.60 | 0.61 | 0.61 | 0.61 | 0.55 | 0.57 | 0.57 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 0.67 | 0.68 | 0.67 | 0.66 | 0.65 | 0.66 | 0.64 | 0.64 | 0.64 | 0.64 | 0.63 | 0.63 | 0.63 | 0.62 | 0.61 | 0.61 | 0.61 | 0.61 | ||||||
| Verizon Communications Inc. | — | 0.65 | 0.63 | 0.62 | 0.62 | 0.62 | 0.63 | 0.64 | 0.64 | 0.65 | 0.65 | 0.64 | 0.65 | 0.66 | 0.66 | 0.67 | 0.67 | 0.68 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 162,888 ÷ 273,332 = 0.60
2 Click competitor name to see calculations.
The solvency profile of the entity exhibits a significant structural realignment in the first half of 2022, followed by a period of relative stability in the capital structure through mid-2026.
- Total Debt Analysis
- A substantial reduction in total debt, including operating lease liabilities, is observed between March 31, 2022, and June 30, 2022, as obligations decreased from 228,475 million US$ to 154,706 million US$. Following this contraction, debt levels remained relatively range-bound, reaching a period low of 140,923 million US$ in December 2024 before trending upward to 162,888 million US$ by June 30, 2026.
- Total Capital Analysis
- Total capital followed a trajectory closely aligned with total debt, experiencing a sharp decline from 397,511 million US$ in March 2022 to 272,452 million US$ in June 2022. The capital base subsequently fluctuated within a narrower corridor, reaching a minimum of 245,295 million US$ in December 2024 and recovering to 273,332 million US$ by June 30, 2026.
- Debt to Capital Ratio Interpretation
- The debt to capital ratio remained remarkably consistent despite the large shifts in absolute nominal values. After an initial decrease to 0.55 in September 2022, the ratio rose to 0.61 by December 2022 and held that level through June 2023. For the remainder of the observed period, the ratio oscillated narrowly between 0.57 and 0.60, concluding at 0.60 in June 2026. This pattern indicates a strategic maintenance of a constant leverage proportion relative to the total capital base, suggesting a stabilized long-term financing strategy.
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Debt to Assets
AT&T Inc., debt to assets calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Total assets | 428,359) | 421,188) | 420,198) | 423,213) | 405,491) | 397,467) | 394,795) | 393,719) | 398,026) | 399,428) | 407,060) | 406,698) | 408,453) | 400,873) | 402,853) | 426,463) | 426,433) | 577,195) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to assets1 | 0.34 | 0.33 | 0.32 | 0.33 | 0.33 | 0.32 | 0.31 | 0.33 | 0.33 | 0.33 | 0.34 | 0.34 | 0.35 | 0.34 | 0.34 | 0.31 | 0.32 | 0.36 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 0.41 | 0.41 | 0.40 | 0.40 | 0.40 | 0.41 | 0.39 | 0.39 | 0.38 | 0.39 | 0.37 | 0.37 | 0.38 | 0.37 | 0.35 | 0.36 | 0.35 | 0.36 | ||||||
| Verizon Communications Inc. | — | 0.41 | 0.39 | 0.38 | 0.38 | 0.38 | 0.37 | 0.40 | 0.39 | 0.40 | 0.40 | 0.38 | 0.40 | 0.40 | 0.40 | 0.39 | 0.40 | 0.42 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to assets = Total debt ÷ Total assets
= 143,954 ÷ 428,359 = 0.34
2 Click competitor name to see calculations.
The solvency profile of the organization exhibits a high degree of stability following a significant structural adjustment in the first half of 2022. While both total debt and total assets experienced sharp contractions during this initial period, the relationship between the two has remained consistent, maintaining a controlled leverage position throughout the observed timeframe.
- Total Debt Trends
- A substantial reduction in total debt occurred between March 31, 2022, and June 30, 2022, where obligations decreased from 207,558 million to 135,957 million. Following this correction, debt levels fluctuated within a relatively tight corridor, reaching a periodic low of 123,532 million by December 31, 2024, before trending upward again to reach 143,954 million by June 30, 2026.
- Total Asset Base Evolution
- Total assets mirrored the debt contraction in early 2022, dropping from 577,195 million to 426,433 million. The asset base remained largely stagnant throughout 2023 and 2024, hovering around the 400,000 million mark. A gradual recovery is observed starting in 2025, with assets increasing to 428,359 million by the end of the period, suggesting a phase of modest balance sheet expansion.
- Debt to Assets Ratio Analysis
- The debt to assets ratio demonstrates remarkable consistency, oscillating narrowly between 0.31 and 0.36. The initial peak of 0.36 in March 2022 was followed by a decline to 0.32 in June 2022, after which the ratio stabilized. The lowest leverage point of 0.31 was recorded in September 2022 and again in December 2024. The period concludes with a slight upward trend, returning to 0.34 by June 30, 2026, indicating that the increase in debt has slightly outpaced asset growth in the most recent quarters.
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Debt to Assets (including Operating Lease Liability)
AT&T Inc., debt to assets (including operating lease liability) calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Debt maturing within one year | 9,323) | 6,818) | 9,011) | 11,378) | 9,254) | 8,902) | 5,089) | 2,637) | 5,249) | 7,060) | 9,477) | 11,302) | 15,268) | 13,757) | 7,467) | 9,626) | 6,210) | 27,333) | ||||||
| Long-term debt, excluding maturing within one year | 134,631) | 131,589) | 127,089) | 128,090) | 123,057) | 117,259) | 118,443) | 126,375) | 125,355) | 125,704) | 127,854) | 126,701) | 128,012) | 123,727) | 128,423) | 123,854) | 129,747) | 180,225) | ||||||
| Total debt | 143,954) | 138,407) | 136,100) | 139,468) | 132,311) | 126,161) | 123,532) | 129,012) | 130,604) | 132,764) | 137,331) | 138,003) | 143,280) | 137,484) | 135,890) | 133,480) | 135,957) | 207,558) | ||||||
| Noncurrent operating lease liabilities | 18,934) | 18,907) | 18,943) | 19,025) | 17,762) | 17,433) | 17,391) | 17,331) | 17,174) | 17,291) | 17,568) | 17,730) | 18,311) | 18,413) | 18,659) | 18,741) | 18,749) | 20,917) | ||||||
| Total debt (including operating lease liability) | 162,888) | 157,314) | 155,043) | 158,493) | 150,073) | 143,594) | 140,923) | 146,343) | 147,778) | 150,055) | 154,899) | 155,733) | 161,591) | 155,897) | 154,549) | 152,221) | 154,706) | 228,475) | ||||||
| Total assets | 428,359) | 421,188) | 420,198) | 423,213) | 405,491) | 397,467) | 394,795) | 393,719) | 398,026) | 399,428) | 407,060) | 406,698) | 408,453) | 400,873) | 402,853) | 426,463) | 426,433) | 577,195) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to assets (including operating lease liability)1 | 0.38 | 0.37 | 0.37 | 0.37 | 0.37 | 0.36 | 0.36 | 0.37 | 0.37 | 0.38 | 0.38 | 0.38 | 0.40 | 0.39 | 0.38 | 0.36 | 0.36 | 0.40 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 0.54 | 0.55 | 0.54 | 0.54 | 0.54 | 0.55 | 0.53 | 0.53 | 0.53 | 0.54 | 0.53 | 0.53 | 0.54 | 0.52 | 0.51 | 0.52 | 0.52 | 0.52 | ||||||
| Verizon Communications Inc. | — | 0.47 | 0.45 | 0.44 | 0.44 | 0.44 | 0.44 | 0.46 | 0.46 | 0.46 | 0.46 | 0.45 | 0.47 | 0.47 | 0.46 | 0.46 | 0.47 | 0.49 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 162,888 ÷ 428,359 = 0.38
2 Click competitor name to see calculations.
A significant structural adjustment occurred between March 31, 2022, and June 30, 2022, characterized by a substantial and simultaneous reduction in both total debt and total assets. Following this transition, the balance sheet entered a period of relative stabilization, with solvency metrics remaining consistent through the first half of 2026.
- Total Debt Dynamics
- Total debt, including operating lease liabilities, experienced a sharp contraction from 228,475 million USD in March 2022 to 154,706 million USD by June 2022. Following this decline, debt levels fluctuated moderately, reaching a period low of 140,923 million USD in December 2024. A gradual upward trend is observed from March 2025 onward, with total debt increasing to 162,888 million USD by June 30, 2026.
- Total Asset Trajectory
- Total assets followed a trajectory similar to debt, falling from 577,195 million USD in March 2022 to 426,433 million USD by June 2022. Assets remained largely range-bound between 393,719 million USD and 428,359 million USD for the remainder of the period. A slight recovery in the asset base is evident starting in 2025, culminating in a value of 428,359 million USD by June 2026.
- Debt to Assets Ratio Stability
- The debt to assets ratio has demonstrated minimal volatility over the observed timeframe, consistently oscillating within a narrow band between 0.36 and 0.40. The ratio remained at 0.36 for a significant portion of 2022 and 2024, before settling at 0.38 by June 30, 2026. This stability indicates that changes in debt obligations were proportionally balanced by changes in total assets, maintaining a consistent leverage profile despite the overall reduction in the company's financial scale.
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Financial Leverage
AT&T Inc., financial leverage calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Total assets | 428,359) | 421,188) | 420,198) | 423,213) | 405,491) | 397,467) | 394,795) | 393,719) | 398,026) | 399,428) | 407,060) | 406,698) | 408,453) | 400,873) | 402,853) | 426,463) | 426,433) | 577,195) | ||||||
| Stockholders’ equity attributable to AT&T | 110,444) | 109,660) | 110,533) | 110,708) | 105,272) | 103,744) | 104,372) | 102,351) | 105,310) | 104,540) | 103,297) | 103,703) | 101,903) | 99,396) | 97,500) | 122,406) | 117,746) | 169,036) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Financial leverage1 | 3.88 | 3.84 | 3.80 | 3.82 | 3.85 | 3.83 | 3.78 | 3.85 | 3.78 | 3.82 | 3.94 | 3.92 | 4.01 | 4.03 | 4.13 | 3.48 | 3.62 | 3.41 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 3.80 | 3.84 | 3.70 | 3.59 | 3.48 | 3.51 | 3.37 | 3.28 | 3.33 | 3.32 | 3.21 | 3.22 | 3.20 | 3.14 | 3.03 | 3.04 | 2.99 | 3.01 | ||||||
| Verizon Communications Inc. | — | 4.04 | 3.87 | 3.70 | 3.72 | 3.78 | 3.88 | 3.96 | 3.94 | 4.03 | 4.11 | 3.94 | 3.99 | 4.07 | 4.17 | 4.29 | 4.30 | 4.37 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity attributable to AT&T
= 428,359 ÷ 110,444 = 3.88
2 Click competitor name to see calculations.
The financial structure exhibits a significant contraction in both total assets and stockholders' equity during the first half of 2022, followed by a prolonged period of stabilization and modest recovery. This volatility in the balance sheet components directly influenced the company's financial leverage, which peaked in late 2022 before entering a phase of relative constancy.
- Total Assets Trend
- A substantial reduction in total assets occurred between March 31, 2022, and June 30, 2022, where values dropped from 577,195 million USD to 426,433 million USD. Following this decline, assets remained relatively stable, fluctuating between approximately 393,000 million USD and 408,000 million USD through 2024. A gradual upward trajectory is observed starting in 2025, with assets reaching 428,359 million USD by June 30, 2026.
- Stockholders' Equity Dynamics
- Equity attributable to AT&T experienced a sharp decline from 169,036 million USD in March 2022 to a low of 97,500 million USD by December 31, 2022. From 2023 onward, a recovery trend is evident, with equity stabilizing above the 100,000 million USD threshold. By June 30, 2026, stockholders' equity reached 110,444 million USD, indicating a gradual restoration of the equity base after the 2022 contraction.
- Financial Leverage Analysis
- The financial leverage ratio increased from 3.41 in March 2022 to a peak of 4.13 in December 2022, reflecting an increase in the proportion of debt relative to equity. Since the first quarter of 2023, the ratio has exhibited a downward correction and subsequent stabilization. For the period spanning March 2023 through June 2026, the ratio has remained tightly range-bound between 3.78 and 4.03, suggesting a controlled and consistent approach to capital structure and solvency management.
Overall, the observed patterns indicate a transition from a high-asset, high-equity position to a leaner balance sheet. While the leverage ratio increased during the initial contraction phase, the subsequent stability in the ratio throughout 2024 and 2025 suggests that the company has maintained a consistent leverage target despite fluctuations in total asset value.
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Interest Coverage
AT&T Inc., interest coverage calculation (quarterly data)
| Jun 30, 2026 | Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||
| Net income (loss) attributable to AT&T | 4,627) | 3,829) | 3,788) | 9,314) | 4,500) | 4,351) | 4,080) | (174) | 3,597) | 3,445) | 2,188) | 3,495) | 4,489) | 4,228) | (23,517) | 6,026) | 4,157) | 4,810) | ||||||
| Add: Net income attributable to noncontrolling interest | 383) | 352) | 368) | 363) | 361) | 341) | 328) | 319) | 352) | 306) | 394) | 331) | 273) | 225) | 362) | 373) | 380) | 354) | ||||||
| Less: Income (loss) from discontinued operations, net of tax | (28) | (38) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | (35) | 53) | (214) | 15) | ||||||
| Add: Income tax expense | 784) | 1,179) | 109) | 976) | 1,237) | 1,299) | 900) | 1,285) | 1,142) | 1,118) | 354) | 1,154) | 1,403) | 1,314) | (77) | 908) | 1,509) | 1,440) | ||||||
| Add: Interest expense | 1,883) | 1,813) | 1,791) | 1,700) | 1,655) | 1,658) | 1,661) | 1,675) | 1,699) | 1,724) | 1,726) | 1,662) | 1,608) | 1,708) | 1,560) | 1,420) | 1,502) | 1,626) | ||||||
| Earnings before interest and tax (EBIT) | 7,705) | 7,211) | 6,056) | 12,353) | 7,753) | 7,649) | 6,969) | 3,105) | 6,790) | 6,593) | 4,662) | 6,642) | 7,773) | 7,475) | (21,637) | 8,674) | 7,762) | 8,215) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Interest coverage1 | 4.64 | 4.80 | 4.97 | 5.20 | 3.83 | 3.66 | 3.47 | 3.10 | 3.62 | 3.82 | 3.96 | 0.04 | 0.36 | 0.37 | 0.49 | 5.27 | 5.20 | 4.53 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Interest Coverage, Competitors2 | ||||||||||||||||||||||||
| T-Mobile US Inc. | 4.44 | 4.54 | 4.78 | 5.30 | 5.53 | 5.47 | 5.31 | 4.95 | 4.68 | 4.42 | 4.30 | 4.11 | 3.36 | 2.44 | 1.94 | 1.43 | 1.50 | 1.92 | ||||||
| Verizon Communications Inc. | — | 4.28 | 4.39 | 4.98 | 4.64 | 4.52 | 4.46 | 3.21 | 3.59 | 3.78 | 4.08 | 6.49 | 7.16 | 8.11 | 8.82 | 8.89 | 9.83 | 9.97 | ||||||
Based on: 10-Q (reporting date: 2026-06-30), 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q2 2026 Calculation
Interest coverage
= (EBITQ2 2026
+ EBITQ1 2026
+ EBITQ4 2025
+ EBITQ3 2025)
÷ (Interest expenseQ2 2026
+ Interest expenseQ1 2026
+ Interest expenseQ4 2025
+ Interest expenseQ3 2025)
= (7,705 + 7,211 + 6,056 + 12,353)
÷ (1,883 + 1,813 + 1,791 + 1,700)
= 4.64
2 Click competitor name to see calculations.
The analysis of solvency metrics reveals a period of significant volatility in earnings capacity followed by a sustained recovery and stabilization of the interest coverage ratio. The overall trend is characterized by a severe contraction in the latter part of 2022 and early 2023, followed by a return to sustainable coverage levels from late 2023 through mid-2026.
- Earnings Before Interest and Tax (EBIT) Trends
- Operating earnings showed relative stability in early 2022, averaging approximately 8 billion USD. A substantial anomaly occurred on December 31, 2022, where EBIT collapsed to negative 21.6 billion USD, representing a critical decline in profitability. Following this event, EBIT recovered in 2023, though it remained volatile, dipping to 4.6 billion USD by year-end. A period of stabilization occurred throughout 2024, with a significant peak reaching 12.3 billion USD in September 2025 before normalizing to approximately 7.7 billion USD by June 2026.
- Interest Expense Patterns
- Interest obligations remained relatively consistent throughout the observed period, generally fluctuating between 1.4 billion USD and 1.9 billion USD. A gradual upward trend is observable starting in late 2024, with expenses rising from 1.6 billion USD to 1.88 billion USD by June 2026. This incremental increase in the cost of debt serves as a constant pressure point against operating income.
- Interest Coverage Ratio Analysis
- The interest coverage ratio exhibited a sharp decline from a peak of 5.27 in September 2022 to a critical low of 0.04 by September 2023. This contraction indicates a period where operating earnings were barely sufficient to meet interest obligations, signaling heightened solvency risk. A decisive recovery began in December 2023, with the ratio jumping to 3.96. From 2024 onward, the ratio maintained a healthy range, peaking again at 5.20 in September 2025 and ending the period at 4.64 in June 2026, suggesting a restored and stable capacity to service debt.
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