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)
Elevance Health 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 of the organization is characterized by generally stable leverage metrics punctuated by a shift in late 2024, coinciding with a persistent and significant deterioration in interest coverage capacity over the entire analyzed period.
- Leverage Ratios
- Debt to equity, debt to capital, and debt to assets ratios remained relatively stagnant from March 2022 through September 2024. A distinct upward shift occurred on December 31, 2024, where the debt to equity ratio peaked at 0.76, debt to capital reached 0.43, and debt to assets rose to 0.27. Following this peak, these metrics stabilized at levels slightly higher than the 2022-2023 baseline, suggesting a permanent increase in the company's reliance on debt relative to its equity and asset base.
- Financial Leverage
- Financial leverage exhibited moderate volatility without a clear long-term directional trend. The ratio fluctuated between a high of 2.92 in March 2023 and a low of 2.66 in September 2024, eventually settling in the 2.82 to 2.87 range by mid-2026. This indicates a consistent approach to overall capital structure despite fluctuations in individual debt components.
- Interest Coverage
- A consistent and aggressive downward trend is observed in the interest coverage ratio. Starting at a robust 11.01 in March 2022, the ratio declined steadily to 5.08 by June 2026. This progression indicates a diminishing margin of safety and a reduced capacity to service interest expenses from operating profits, representing the most significant change in the company's solvency risk profile over the period.
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Debt Ratios
Coverage Ratios
Debt to Equity
Elevance Health 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) | ||||||||||||||||||||||||
| Short-term borrowings | —) | 724) | 150) | 180) | 360) | 250) | 365) | 360) | 225) | 1,575) | 225) | —) | 265) | 265) | 265) | 265) | 175) | 275) | ||||||
| Current portion of long-term debt | 375) | 350) | 1,099) | 749) | 1,648) | 1,643) | 1,649) | 2,100) | 2,900) | 2,900) | 1,649) | 799) | —) | —) | 1,500) | 2,249) | 2,248) | 3,097) | ||||||
| Long-term debt, less current portion | 30,669) | 30,768) | 30,797) | 31,173) | 28,178) | 28,110) | 29,218) | 24,688) | 24,561) | 21,976) | 23,246) | 24,045) | 24,859) | 25,201) | 22,349) | 21,258) | 21,165) | 19,883) | ||||||
| Total debt | 31,044) | 31,842) | 32,046) | 32,102) | 30,186) | 30,003) | 31,232) | 27,148) | 27,686) | 26,451) | 25,120) | 24,844) | 25,124) | 25,466) | 24,114) | 23,772) | 23,588) | 23,255) | ||||||
| Shareholders’ equity | 44,883) | 43,902) | 43,882) | 43,953) | 43,722) | 42,503) | 41,315) | 43,775) | 42,191) | 40,608) | 39,306) | 38,423) | 38,205) | 37,356) | 36,307) | 35,991) | 35,812) | 35,975) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to equity1 | 0.69 | 0.73 | 0.73 | 0.73 | 0.69 | 0.71 | 0.76 | 0.62 | 0.66 | 0.65 | 0.64 | 0.65 | 0.66 | 0.68 | 0.66 | 0.66 | 0.66 | 0.65 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||
| Abbott Laboratories | 0.64 | 0.65 | 0.25 | 0.25 | 0.27 | 0.27 | 0.30 | 0.38 | 0.38 | 0.38 | 0.38 | 0.41 | 0.45 | 0.46 | 0.46 | 0.46 | 0.46 | 0.48 | ||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| Medtronic PLC | 0.60 | 0.60 | 0.59 | 0.54 | 0.58 | 0.58 | 0.50 | 0.49 | 0.49 | 0.49 | 0.47 | 0.55 | 0.51 | 0.44 | 0.46 | 0.48 | 0.49 | 0.50 | ||||||
| UnitedHealth Group Inc. | — | 0.80 | 0.83 | 0.84 | 0.84 | 0.86 | 0.83 | 0.83 | 0.84 | 0.85 | 0.70 | 0.75 | 0.80 | 0.87 | 0.74 | 0.65 | 0.71 | 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 equity = Total debt ÷ Shareholders’ equity
= 31,044 ÷ 44,883 = 0.69
2 Click competitor name to see calculations.
The solvency profile exhibits a general increase in both total debt and shareholders' equity over the observed period, with the debt-to-equity ratio remaining relatively stable despite periodic fluctuations. A moderate leverage strategy is evident, as equity growth has largely kept pace with the expansion of debt obligations.
- Total Debt Trends
- Total debt demonstrated a consistent upward trajectory, rising from 23,255 million US dollars in March 2022 to 31,044 million US dollars by June 2026. A significant acceleration in borrowing is observed between September 30, 2024, and December 31, 2024, where debt increased by approximately 4,084 million US dollars. Following this peak, debt levels stabilized, fluctuating between 30,000 and 32,102 million US dollars through the remainder of the period.
- Shareholders' Equity Growth
- Shareholders' equity grew steadily from 35,975 million US dollars in March 2022 to 44,883 million US dollars in June 2026. The growth remained consistent throughout the period, with a notable exception in December 2024, where equity experienced a temporary contraction to 41,315 million US dollars from 43,775 million US dollars in the previous quarter. This recovery was swift, with equity continuing its upward trend in subsequent quarters.
- Debt to Equity Ratio Analysis
- The debt-to-equity ratio remained narrow and stable between 0.64 and 0.68 from March 2022 through March 2024. A peak in leverage occurred on December 31, 2024, reaching a ratio of 0.76, which coincides with the simultaneous increase in total debt and a dip in shareholders' equity. In the subsequent quarters, the ratio moderated and stabilized within the 0.69 to 0.73 range, ending at 0.69 in June 2026, suggesting a return to a balanced capital structure.
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Debt to Capital
Elevance Health 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) | ||||||||||||||||||||||||
| Short-term borrowings | —) | 724) | 150) | 180) | 360) | 250) | 365) | 360) | 225) | 1,575) | 225) | —) | 265) | 265) | 265) | 265) | 175) | 275) | ||||||
| Current portion of long-term debt | 375) | 350) | 1,099) | 749) | 1,648) | 1,643) | 1,649) | 2,100) | 2,900) | 2,900) | 1,649) | 799) | —) | —) | 1,500) | 2,249) | 2,248) | 3,097) | ||||||
| Long-term debt, less current portion | 30,669) | 30,768) | 30,797) | 31,173) | 28,178) | 28,110) | 29,218) | 24,688) | 24,561) | 21,976) | 23,246) | 24,045) | 24,859) | 25,201) | 22,349) | 21,258) | 21,165) | 19,883) | ||||||
| Total debt | 31,044) | 31,842) | 32,046) | 32,102) | 30,186) | 30,003) | 31,232) | 27,148) | 27,686) | 26,451) | 25,120) | 24,844) | 25,124) | 25,466) | 24,114) | 23,772) | 23,588) | 23,255) | ||||||
| Shareholders’ equity | 44,883) | 43,902) | 43,882) | 43,953) | 43,722) | 42,503) | 41,315) | 43,775) | 42,191) | 40,608) | 39,306) | 38,423) | 38,205) | 37,356) | 36,307) | 35,991) | 35,812) | 35,975) | ||||||
| Total capital | 75,927) | 75,744) | 75,928) | 76,055) | 73,908) | 72,506) | 72,547) | 70,923) | 69,877) | 67,059) | 64,426) | 63,267) | 63,329) | 62,822) | 60,421) | 59,763) | 59,400) | 59,230) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to capital1 | 0.41 | 0.42 | 0.42 | 0.42 | 0.41 | 0.41 | 0.43 | 0.38 | 0.40 | 0.39 | 0.39 | 0.39 | 0.40 | 0.41 | 0.40 | 0.40 | 0.40 | 0.39 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||
| Abbott Laboratories | 0.39 | 0.40 | 0.20 | 0.20 | 0.21 | 0.21 | 0.23 | 0.27 | 0.27 | 0.27 | 0.28 | 0.29 | 0.31 | 0.31 | 0.31 | 0.32 | 0.31 | 0.33 | ||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| Medtronic PLC | 0.37 | 0.37 | 0.37 | 0.35 | 0.37 | 0.37 | 0.33 | 0.33 | 0.33 | 0.33 | 0.32 | 0.35 | 0.34 | 0.31 | 0.31 | 0.32 | 0.33 | 0.34 | ||||||
| UnitedHealth Group Inc. | — | 0.44 | 0.45 | 0.46 | 0.46 | 0.46 | 0.45 | 0.45 | 0.46 | 0.46 | 0.41 | 0.43 | 0.44 | 0.46 | 0.43 | 0.39 | 0.41 | 0.39 | ||||||
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
= 31,044 ÷ 75,927 = 0.41
2 Click competitor name to see calculations.
The solvency profile reflects a period of controlled expansion in leverage, characterized by a steady increase in both total debt and total capital. While absolute debt levels rose significantly over the analyzed period, the debt-to-capital ratio remained relatively stable, indicating a balanced approach to financing and capital structure management.
- Total Debt Trends
- Total debt exhibited a consistent upward trajectory, rising from 23,255 million USD in March 2022 to 31,044 million USD by June 2026. A notable acceleration in borrowing occurred between September 30, 2024, and December 31, 2024, where debt increased by approximately 4,084 million USD. Peak debt levels were reached in September 2025 at 32,102 million USD, followed by a slight moderation in the final three quarters of the period.
- Total Capital Growth
- Total capital demonstrated a steady and linear increase, growing from 59,230 million USD in March 2022 to 75,927 million USD in June 2026. This growth suggests a consistent expansion of the company's overall funding base, which effectively absorbed the increases in total debt and prevented an excessive rise in the solvency ratio.
- Debt to Capital Ratio Analysis
- The debt-to-capital ratio remained within a tight range of 0.38 to 0.43 throughout the observation period. The ratio was highly stable at approximately 0.40 for the first two years. A peak of 0.43 was observed on December 31, 2024, coinciding with the sharp increase in total debt. However, the ratio subsequently normalized to the 0.41 to 0.42 range by mid-2026, signifying that the increase in debt was offset by a corresponding growth in total capital.
Overall, the data indicates a disciplined capital structure strategy. The alignment between the growth of total debt and total capital ensures that the company's leverage remains consistent, maintaining a solvency position that does not deviate significantly from its historical baseline despite higher absolute liability levels.
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Debt to Assets
Elevance Health 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) | ||||||||||||||||||||||||
| Short-term borrowings | —) | 724) | 150) | 180) | 360) | 250) | 365) | 360) | 225) | 1,575) | 225) | —) | 265) | 265) | 265) | 265) | 175) | 275) | ||||||
| Current portion of long-term debt | 375) | 350) | 1,099) | 749) | 1,648) | 1,643) | 1,649) | 2,100) | 2,900) | 2,900) | 1,649) | 799) | —) | —) | 1,500) | 2,249) | 2,248) | 3,097) | ||||||
| Long-term debt, less current portion | 30,669) | 30,768) | 30,797) | 31,173) | 28,178) | 28,110) | 29,218) | 24,688) | 24,561) | 21,976) | 23,246) | 24,045) | 24,859) | 25,201) | 22,349) | 21,258) | 21,165) | 19,883) | ||||||
| Total debt | 31,044) | 31,842) | 32,046) | 32,102) | 30,186) | 30,003) | 31,232) | 27,148) | 27,686) | 26,451) | 25,120) | 24,844) | 25,124) | 25,466) | 24,114) | 23,772) | 23,588) | 23,255) | ||||||
| Total assets | 126,438) | 125,827) | 121,494) | 122,749) | 121,938) | 119,717) | 116,889) | 116,533) | 112,988) | 111,894) | 108,928) | 110,478) | 109,168) | 109,040) | 102,772) | 103,026) | 100,877) | 100,486) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Debt to assets1 | 0.25 | 0.25 | 0.26 | 0.26 | 0.25 | 0.25 | 0.27 | 0.23 | 0.25 | 0.24 | 0.23 | 0.22 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||
| Abbott Laboratories | 0.30 | 0.31 | 0.15 | 0.15 | 0.16 | 0.16 | 0.17 | 0.20 | 0.20 | 0.20 | 0.20 | 0.22 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | ||||||
| Intuitive Surgical Inc. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | ||||||
| Medtronic PLC | 0.32 | 0.31 | 0.31 | 0.30 | 0.31 | 0.31 | 0.28 | 0.28 | 0.28 | 0.28 | 0.27 | 0.30 | 0.29 | 0.26 | 0.27 | 0.27 | 0.28 | 0.28 | ||||||
| UnitedHealth Group Inc. | — | 0.25 | 0.25 | 0.25 | 0.26 | 0.26 | 0.26 | 0.26 | 0.26 | 0.26 | 0.23 | 0.22 | 0.23 | 0.25 | 0.23 | 0.20 | 0.22 | 0.21 | ||||||
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
= 31,044 ÷ 126,438 = 0.25
2 Click competitor name to see calculations.
The solvency profile between March 2022 and June 2026 is characterized by a steady expansion of the balance sheet and a strategic increase in leverage that occurred primarily between 2024 and 2025.
- Total Debt Trends
- Total debt remained relatively stable from March 2022 through December 2023, fluctuating within a range of 23.26 billion to 25.47 billion. A significant upward shift began in 2024, with debt levels increasing from 26.45 billion in March to a period high of 31.23 billion by December 2024. This higher debt threshold persisted through 2025, peaking at 32.10 billion in September 2025 before initiating a slight downward trend to 31.04 billion by June 2026.
- Total Asset Growth
- Assets exhibited consistent growth throughout the entire observation period. Starting at 100.49 billion in March 2022, total assets climbed steadily to reach 126.44 billion by June 2026. This sustained growth indicates a continuous expansion of the company's resource base, which served to offset the simultaneous increase in total debt.
- Debt to Assets Ratio Interpretation
- The debt to assets ratio demonstrated a period of high stability between March 2022 and September 2023, remaining virtually constant at 0.23. A notable increase was observed in 2024, where the ratio reached a peak of 0.27 in December, reflecting a period where debt accumulation outpaced asset growth. For the remainder of the period, from 2025 through June 2026, the ratio stabilized between 0.25 and 0.26, suggesting a new equilibrium in the company's capital structure.
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Financial Leverage
Elevance Health 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 | 126,438) | 125,827) | 121,494) | 122,749) | 121,938) | 119,717) | 116,889) | 116,533) | 112,988) | 111,894) | 108,928) | 110,478) | 109,168) | 109,040) | 102,772) | 103,026) | 100,877) | 100,486) | ||||||
| Shareholders’ equity | 44,883) | 43,902) | 43,882) | 43,953) | 43,722) | 42,503) | 41,315) | 43,775) | 42,191) | 40,608) | 39,306) | 38,423) | 38,205) | 37,356) | 36,307) | 35,991) | 35,812) | 35,975) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Financial leverage1 | 2.82 | 2.87 | 2.77 | 2.79 | 2.79 | 2.82 | 2.83 | 2.66 | 2.68 | 2.76 | 2.77 | 2.88 | 2.86 | 2.92 | 2.83 | 2.86 | 2.82 | 2.79 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||
| Abbott Laboratories | 2.14 | 2.12 | 1.66 | 1.65 | 1.66 | 1.67 | 1.71 | 1.87 | 1.86 | 1.87 | 1.90 | 1.92 | 1.97 | 1.99 | 2.03 | 2.04 | 2.03 | 2.09 | ||||||
| Intuitive Surgical Inc. | 1.15 | 1.15 | 1.15 | 1.14 | 1.13 | 1.12 | 1.14 | 1.14 | 1.13 | 1.13 | 1.16 | 1.17 | 1.17 | 1.16 | 1.17 | 1.15 | 1.14 | 1.13 | ||||||
| Medtronic PLC | 1.88 | 1.90 | 1.91 | 1.82 | 1.86 | 1.87 | 1.79 | 1.75 | 1.75 | 1.77 | 1.77 | 1.83 | 1.80 | 1.71 | 1.73 | 1.75 | 1.76 | 1.78 | ||||||
| UnitedHealth Group Inc. | — | 3.19 | 3.29 | 3.29 | 3.26 | 3.26 | 3.22 | 3.17 | 3.20 | 3.28 | 3.08 | 3.34 | 3.40 | 3.49 | 3.16 | 3.26 | 3.16 | 3.04 | ||||||
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 ÷ Shareholders’ equity
= 126,438 ÷ 44,883 = 2.82
2 Click competitor name to see calculations.
The financial position demonstrates a consistent expansion of the balance sheet, characterized by a steady increase in both total assets and shareholders' equity over the period from March 2022 to June 2026.
- Asset Growth Trends
- Total assets exhibited a sustained upward trajectory, rising from 100,486 million US$ in March 2022 to 126,438 million US$ by June 2026. This growth was largely linear, with a notable acceleration between December 2023 and September 2024, indicating a systematic expansion of the resource base.
- Equity Accumulation
- Shareholders' equity increased from 35,975 million US$ in March 2022 to 44,883 million US$ in June 2026. While the overall trend is positive, a brief period of volatility was observed between September 2023 and December 2024, where equity levels fluctuated before resuming a steady climb throughout 2025 and 2026.
- Financial Leverage Analysis
- The financial leverage ratio remained relatively stable, oscillating within a tight corridor between 2.66 and 2.92. A peak in leverage was recorded in March 2023 at 2.92, followed by a gradual decline to a period low of 2.66 in September 2024. In the subsequent quarters, the ratio stabilized and converged toward 2.82 by June 2026, suggesting a disciplined approach to maintaining the proportion of debt relative to equity.
The correlation between the growth in total assets and the growth in shareholders' equity indicates that the expansion of the balance sheet has been supported by a combination of retained earnings and capital contributions, preventing any significant spike in financial risk despite the increase in overall scale.
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Interest Coverage
Elevance Health 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) | ||||||||||||||||||||||||
| Shareholders’ net income | 1,463) | 1,764) | 547) | 1,189) | 1,743) | 2,183) | 418) | 1,016) | 2,300) | 2,246) | 856) | 1,289) | 1,853) | 1,989) | 949) | 1,618) | 1,653) | 1,805) | ||||||
| Add: Net income attributable to noncontrolling interest | (9) | (4) | (1) | (2) | 1) | 1) | (5) | (8) | 1) | 3) | (25) | 11) | 3) | 15) | 12) | (5) | (3) | (10) | ||||||
| Add: Income tax expense | 483) | 544) | (331) | 219) | 548) | 613) | 193) | 365) | 685) | 690) | 170) | 354) | 585) | 615) | 193) | 533) | 493) | 531) | ||||||
| Add: Interest expense | 364) | 357) | 366) | 351) | 341) | 344) | 340) | 300) | 280) | 265) | 259) | 259) | 261) | 251) | 229) | 213) | 208) | 201) | ||||||
| Earnings before interest and tax (EBIT) | 2,301) | 2,661) | 581) | 1,757) | 2,633) | 3,141) | 946) | 1,673) | 3,266) | 3,204) | 1,260) | 1,913) | 2,702) | 2,870) | 1,383) | 2,359) | 2,351) | 2,527) | ||||||
| Solvency Ratio | ||||||||||||||||||||||||
| Interest coverage1 | 5.08 | 5.39 | 5.79 | 6.16 | 6.33 | 7.14 | 7.67 | 8.52 | 9.07 | 8.70 | 8.49 | 8.87 | 9.76 | 9.95 | 10.13 | 10.75 | 10.71 | 11.01 | ||||||
| Benchmarks | ||||||||||||||||||||||||
| Interest Coverage, Competitors2 | ||||||||||||||||||||||||
| Abbott Laboratories | 10.81 | 16.18 | 18.17 | 16.99 | 15.90 | 14.40 | 13.55 | 12.65 | 11.74 | 11.46 | 11.46 | 10.79 | 11.34 | 13.06 | 15.89 | 18.41 | 20.07 | 18.10 | ||||||
| Medtronic PLC | 9.03 | 8.67 | 8.72 | 7.89 | 7.72 | 7.65 | 7.73 | 8.87 | 8.97 | 9.90 | 9.43 | 10.15 | 11.02 | 10.88 | 10.98 | 10.95 | 10.18 | 5.65 | ||||||
| UnitedHealth Group Inc. | — | 4.68 | 4.67 | 6.51 | 7.48 | 7.94 | 6.14 | 6.39 | 6.79 | 7.53 | 9.97 | 10.21 | 10.99 | 12.25 | 13.59 | 14.66 | 14.45 | 14.26 | ||||||
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)
= (2,301 + 2,661 + 581 + 1,757)
÷ (364 + 357 + 366 + 351)
= 5.08
2 Click competitor name to see calculations.
The solvency profile demonstrates a consistent weakening in the capacity to service interest obligations over the analyzed period. The interest coverage ratio exhibits a persistent downward trajectory, declining from a peak of 11.01 in March 2022 to 5.08 by June 2026, indicating a diminishing margin of safety.
- Interest Coverage Ratio Decay
- A steady erosion of the coverage ratio is observed throughout the timeline. The ratio remained above 10.00 through the end of 2022 but entered a sustained decline thereafter, falling below 6.00 by September 2025 and reaching its lowest point of 5.08 in June 2026. This suggests that operating profits are providing progressively less coverage for interest costs.
- Interest Expense Growth
- Interest expenses show a near-constant upward trend, increasing from 201 million US dollars in March 2022 to 364 million US dollars in June 2026. This consistent rise in costs places structural pressure on the solvency ratio, regardless of operating performance.
- EBIT Volatility and Seasonality
- Earnings before interest and tax exhibit significant quarterly fluctuations, characterized by recurring cyclical lows every December. While strong peaks are observed, such as 3.266 billion US dollars in June 2024, these are offset by sharp declines, most notably in December 2025 when EBIT fell to 581 million US dollars. The combination of these periodic earnings troughs and the steadily rising interest expense accelerates the deterioration of the interest coverage ratio.
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