Oracle Corp. (ORCL)


Long-term Debt and Solvency Analysis
Quarterly Data

Difficulty: Beginner


Ratios (Summary)

Oracle Corp., debt and solvency ratios (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Debt Ratios
Debt to equity 2.58 2.37 1.90 1.53 1.33 1.27 1.09 0.95 1.08 1.07 1.12 1.14 0.93 0.87 0.91 0.89 0.86 0.67 0.68 0.69 0.52 0.54 0.55 0.55
Debt to capital 0.72 0.70 0.65 0.60 0.57 0.56 0.52 0.49 0.52 0.52 0.53 0.53 0.48 0.47 0.48 0.47 0.46 0.40 0.41 0.41 0.34 0.35 0.36 0.36
Debt to assets 0.52 0.51 0.49 0.45 0.44 0.44 0.44 0.40 0.43 0.43 0.44 0.44 0.39 0.38 0.39 0.38 0.38 0.33 0.33 0.33 0.27 0.28 0.28 0.28
Financial leverage 4.99 4.61 3.87 3.37 3.00 2.89 2.48 2.39 2.51 2.48 2.55 2.60 2.37 2.29 2.32 2.33 2.28 2.05 2.07 2.11 1.93 1.94 1.96 1.98
Coverage Ratios
Interest coverage 6.89 6.96 6.99 7.16 7.37 7.39 7.35 7.34 7.41 7.84 8.25 8.62 8.80 8.97 9.79 10.89 12.23 14.01 14.69 15.36 15.99

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

Ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Oracle Corp.’s debt to equity ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Oracle Corp.’s debt to capital ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Oracle Corp.’s debt to assets ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Oracle Corp.’s financial leverage ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Oracle Corp.’s interest coverage ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Debt to Equity

Oracle Corp., debt to equity calculation (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Selected Financial Data (USD $ in millions)
Notes payable and other borrowings, current 4,494  4,487  6,477  3,743  4,491  4,491  2,499  4,998  9,797  3,498  3,838  999  3,750  —  2,000  2,000  1,999  1,999  —  —  1,508  1,516  1,525  1,533 
Notes payable and other borrowings, non-current 51,673  51,672  51,561  54,386  56,128  56,224  58,170  48,293  48,112  50,469  50,489  53,057  40,105  40,106  39,940  40,050  39,959  30,258  32,456  32,567  22,667  22,677  22,641  22,575 
Total debt 56,167  56,159  58,038  58,129  60,619  60,715  60,669  53,291  57,909  53,967  54,327  54,056  43,855  40,106  41,940  42,050  41,958  32,257  32,456  32,567  24,175  24,193  24,166  24,108 
 
Total Oracle Corporation stockholders’ equity 21,785  23,714  30,572  38,067  45,726  47,789  55,868  55,959  53,860  50,615  48,462  47,435  47,289  45,870  45,924  47,097  48,663  48,095  47,543  47,354  46,878  44,707  43,563  43,541 
Ratio
Debt to equity1 2.58 2.37 1.90 1.53 1.33 1.27 1.09 0.95 1.08 1.07 1.12 1.14 0.93 0.87 0.91 0.89 0.86 0.67 0.68 0.69 0.52 0.54 0.55 0.55
Benchmarks
Debt to Equity, Competitors2
Adobe Inc. 0.42 0.42 0.44 0.21 0.22 0.22 0.22 0.23 0.24 0.25 0.26 0.26 0.26 0.27 0.27 0.28 0.29 0.29 0.22 0.22 0.23 0.23
Alphabet Inc. 0.02 0.02 0.02 0.02 0.02 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.04 0.04 0.05 0.05 0.05 0.05 0.05 0.05 0.07
Facebook 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 0.01 0.01 0.02 0.02
International Business Machines Corp. 4.14 3.03 2.73 2.37 2.46 2.55 2.66 2.32 2.48 2.33 2.31 2.50 2.83 3.05 2.80 2.98 2.83 3.20 3.44 3.21 2.67 2.65
Intuit Inc. 0.11 0.15 0.15 0.19 0.19 0.95 0.73 0.36 0.29 1.46 1.18 0.86 0.80 1.94 0.81 0.21 0.21 0.21 0.17 0.16 0.15 0.22 0.22
Microsoft Corp. 0.71 0.77 0.79 0.89 0.92 0.97 1.14 0.95 1.19 1.20 1.23 1.06 0.75 0.62 0.58 0.50 0.44 0.35 0.31 0.26 0.25 0.26 0.27 0.20
salesforce.com inc. 0.20 0.25 0.27 0.29 0.18 0.21 0.22 0.23 0.27 0.27 0.29 0.23 0.26 0.27 0.28 0.30 0.34 0.41 0.48 0.51 0.62 0.64 0.66 0.63

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

1 Q4 2019 Calculation
Debt to equity = Total debt ÷ Total Oracle Corporation stockholders’ equity
= 56,167 ÷ 21,785 = 2.58

2 Click competitor name to see calculations.

Ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Oracle Corp.’s debt to equity ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Debt to Capital

Oracle Corp., debt to capital calculation (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Selected Financial Data (USD $ in millions)
Notes payable and other borrowings, current 4,494  4,487  6,477  3,743  4,491  4,491  2,499  4,998  9,797  3,498  3,838  999  3,750  —  2,000  2,000  1,999  1,999  —  —  1,508  1,516  1,525  1,533 
Notes payable and other borrowings, non-current 51,673  51,672  51,561  54,386  56,128  56,224  58,170  48,293  48,112  50,469  50,489  53,057  40,105  40,106  39,940  40,050  39,959  30,258  32,456  32,567  22,667  22,677  22,641  22,575 
Total debt 56,167  56,159  58,038  58,129  60,619  60,715  60,669  53,291  57,909  53,967  54,327  54,056  43,855  40,106  41,940  42,050  41,958  32,257  32,456  32,567  24,175  24,193  24,166  24,108 
Total Oracle Corporation stockholders’ equity 21,785  23,714  30,572  38,067  45,726  47,789  55,868  55,959  53,860  50,615  48,462  47,435  47,289  45,870  45,924  47,097  48,663  48,095  47,543  47,354  46,878  44,707  43,563  43,541 
Total capital 77,952  79,873  88,610  96,196  106,345  108,504  116,537  109,250  111,769  104,582  102,789  101,491  91,144  85,976  87,864  89,147  90,621  80,352  79,999  79,921  71,053  68,900  67,729  67,649 
Ratio
Debt to capital1 0.72 0.70 0.65 0.60 0.57 0.56 0.52 0.49 0.52 0.52 0.53 0.53 0.48 0.47 0.48 0.47 0.46 0.40 0.41 0.41 0.34 0.35 0.36 0.36
Benchmarks
Debt to Capital, Competitors2
Adobe Inc. 0.29 0.29 0.31 0.17 0.18 0.18 0.18 0.19 0.19 0.20 0.20 0.21 0.21 0.21 0.21 0.22 0.22 0.22 0.18 0.18 0.18 0.19
Alphabet Inc. 0.02 0.02 0.02 0.02 0.02 0.03 0.03 0.02 0.03 0.03 0.03 0.03 0.03 0.04 0.04 0.04 0.04 0.05 0.05 0.05 0.05 0.06
Facebook 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 0.01 0.01 0.02 0.02
International Business Machines Corp. 0.81 0.75 0.73 0.70 0.71 0.72 0.73 0.70 0.71 0.70 0.70 0.71 0.74 0.75 0.74 0.75 0.74 0.76 0.77 0.76 0.73 0.73
Intuit Inc. 0.10 0.13 0.13 0.16 0.16 0.49 0.42 0.26 0.23 0.59 0.54 0.46 0.44 0.66 0.45 0.18 0.18 0.17 0.15 0.14 0.13 0.18 0.18
Microsoft Corp. 0.41 0.44 0.44 0.47 0.48 0.49 0.53 0.49 0.54 0.55 0.55 0.51 0.43 0.38 0.37 0.33 0.31 0.26 0.24 0.21 0.20 0.21 0.21 0.16
salesforce.com inc. 0.17 0.20 0.21 0.22 0.15 0.17 0.18 0.19 0.21 0.21 0.23 0.19 0.21 0.21 0.22 0.23 0.26 0.29 0.33 0.34 0.38 0.39 0.40 0.39

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

1 Q4 2019 Calculation
Debt to capital = Total debt ÷ Total capital
= 56,167 ÷ 77,952 = 0.72

2 Click competitor name to see calculations.

Ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Oracle Corp.’s debt to capital ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Debt to Assets

Oracle Corp., debt to assets calculation (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Selected Financial Data (USD $ in millions)
Notes payable and other borrowings, current 4,494  4,487  6,477  3,743  4,491  4,491  2,499  4,998  9,797  3,498  3,838  999  3,750  —  2,000  2,000  1,999  1,999  —  —  1,508  1,516  1,525  1,533 
Notes payable and other borrowings, non-current 51,673  51,672  51,561  54,386  56,128  56,224  58,170  48,293  48,112  50,469  50,489  53,057  40,105  40,106  39,940  40,050  39,959  30,258  32,456  32,567  22,667  22,677  22,641  22,575 
Total debt 56,167  56,159  58,038  58,129  60,619  60,715  60,669  53,291  57,909  53,967  54,327  54,056  43,855  40,106  41,940  42,050  41,958  32,257  32,456  32,567  24,175  24,193  24,166  24,108 
 
Total assets 108,709  109,438  118,318  128,358  137,264  138,201  138,762  133,597  134,991  125,382  123,600  123,223  112,180  104,894  106,483  109,706  110,903  98,816  98,305  99,726  90,344  86,562  85,238  86,406 
Ratio
Debt to assets1 0.52 0.51 0.49 0.45 0.44 0.44 0.44 0.40 0.43 0.43 0.44 0.44 0.39 0.38 0.39 0.38 0.38 0.33 0.33 0.33 0.27 0.28 0.28 0.28
Benchmarks
Debt to Assets, Competitors2
Adobe Inc. 0.21 0.21 0.22 0.12 0.12 0.13 0.13 0.14 0.14 0.14 0.15 0.15 0.16 0.16 0.16 0.17 0.17 0.17 0.14 0.14 0.15 0.15
Alphabet Inc. 0.02 0.02 0.02 0.02 0.02 0.03 0.02 0.02 0.02 0.02 0.02 0.02 0.03 0.03 0.04 0.04 0.04 0.04 0.04 0.04 0.04 0.05
Facebook 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 0.01 0.01 0.02 0.02
International Business Machines Corp. 0.47 0.38 0.37 0.38 0.37 0.37 0.37 0.38 0.38 0.36 0.36 0.37 0.38 0.38 0.36 0.37 0.34 0.35 0.35 0.38 0.37 0.36
Intuit Inc. 0.06 0.08 0.09 0.08 0.08 0.23 0.22 0.12 0.10 0.26 0.28 0.24 0.20 0.29 0.22 0.10 0.09 0.10 0.10 0.10 0.09 0.11 0.12
Microsoft Corp. 0.25 0.28 0.28 0.30 0.29 0.31 0.35 0.34 0.36 0.37 0.38 0.35 0.28 0.26 0.25 0.22 0.20 0.18 0.16 0.14 0.13 0.15 0.15 0.11
salesforce.com inc. 0.10 0.14 0.14 0.14 0.08 0.10 0.10 0.11 0.11 0.13 0.12 0.10 0.10 0.12 0.12 0.12 0.13 0.16 0.18 0.19 0.20 0.23 0.23 0.24

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

1 Q4 2019 Calculation
Debt to assets = Total debt ÷ Total assets
= 56,167 ÷ 108,709 = 0.52

2 Click competitor name to see calculations.

Ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Oracle Corp.’s debt to assets ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Financial Leverage

Oracle Corp., financial leverage calculation (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Selected Financial Data (USD $ in millions)
Total assets 108,709  109,438  118,318  128,358  137,264  138,201  138,762  133,597  134,991  125,382  123,600  123,223  112,180  104,894  106,483  109,706  110,903  98,816  98,305  99,726  90,344  86,562  85,238  86,406 
Total Oracle Corporation stockholders’ equity 21,785  23,714  30,572  38,067  45,726  47,789  55,868  55,959  53,860  50,615  48,462  47,435  47,289  45,870  45,924  47,097  48,663  48,095  47,543  47,354  46,878  44,707  43,563  43,541 
Ratio
Financial leverage1 4.99 4.61 3.87 3.37 3.00 2.89 2.48 2.39 2.51 2.48 2.55 2.60 2.37 2.29 2.32 2.33 2.28 2.05 2.07 2.11 1.93 1.94 1.96 1.98
Benchmarks
Financial Leverage, Competitors2
Adobe Inc. 1.98 1.98 2.00 1.74 1.74 1.73 1.72 1.70 1.71 1.72 1.71 1.70 1.69 1.68 1.67 1.68 1.69 1.67 1.59 1.56 1.56 1.55
Alphabet Inc. 1.34 1.34 1.31 1.30 1.31 1.29 1.29 1.21 1.20 1.19 1.20 1.19 1.21 1.21 1.23 1.24 1.24 1.23 1.25 1.27 1.27 1.27
Facebook Inc. 1.32 1.27 1.16 1.15 1.14 1.15 1.14 1.11 1.11 1.10 1.10 1.10 1.11 1.10 1.12 1.12 1.12 1.12 1.11 1.14 1.13 1.14
International Business Machines Corp. 8.76 7.94 7.35 6.17 6.57 6.90 7.12 6.20 6.54 6.41 6.44 6.80 7.50 7.96 7.75 8.17 8.24 9.23 9.90 8.34 7.15 7.39
Intuit Inc. 1.70 1.91 1.77 2.20 2.45 4.23 3.38 3.00 2.93 5.57 4.20 3.66 3.96 6.78 3.65 2.13 2.28 2.23 1.72 1.69 1.73 2.11 1.83
Microsoft Corp. 2.80 2.78 2.81 3.00 3.13 3.10 3.27 2.78 3.33 3.23 3.26 3.02 2.69 2.43 2.35 2.23 2.20 1.96 1.90 1.88 1.92 1.79 1.80 1.74
salesforce.com inc. 1.97 1.81 1.91 2.08 2.24 1.98 2.06 2.15 2.34 2.11 2.35 2.30 2.55 2.30 2.38 2.45 2.69 2.48 2.73 2.76 3.01 2.78 2.83 2.64

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

1 Q4 2019 Calculation
Financial leverage = Total assets ÷ Total Oracle Corporation stockholders’ equity
= 108,709 ÷ 21,785 = 4.99

2 Click competitor name to see calculations.

Ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Oracle Corp.’s financial leverage ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.

Interest Coverage

Oracle Corp., interest coverage calculation (quarterly data)

Microsoft Excel LibreOffice Calc
May 31, 2019 Feb 28, 2019 Nov 30, 2018 Aug 31, 2018 May 31, 2018 Feb 28, 2018 Nov 30, 2017 Aug 31, 2017 May 31, 2017 Feb 28, 2017 Nov 30, 2016 Aug 31, 2016 May 31, 2016 Feb 29, 2016 Nov 30, 2015 Aug 31, 2015 May 31, 2015 Feb 28, 2015 Nov 30, 2014 Aug 31, 2014 May 31, 2014 Feb 28, 2014 Nov 30, 2013 Aug 31, 2013
Selected Financial Data (USD $ in millions)
Net income (loss) 3,740  2,745  2,333  2,265  3,406  (4,024) 2,233  2,210  3,232  2,239  2,032  1,832  2,815  2,142  2,197  1,747  2,757  2,495  2,502  2,184  3,646  2,565  2,553  2,191 
Add: Income tax expense 126  343  441  275  733  7,324  634  375  529  459  653  541  917  590  471  563  940  655  767  534  943  684  650  472 
Add: Interest expense 525  509  519  529  548  533  475  469  481  450  451  416  362  360  371  374  327  273  282  261  239  228  230  217 
Earnings before interest and tax (EBIT) 4,391  3,597  3,293  3,069  4,687  3,833  3,342  3,054  4,242  3,148  3,136  2,789  4,094  3,092  3,039  2,684  4,024  3,423  3,551  2,979  4,828  3,477  3,433  2,880 
Ratio
Interest coverage1 6.89 6.96 6.99 7.16 7.37 7.39 7.35 7.34 7.41 7.84 8.25 8.62 8.80 8.97 9.79 10.89 12.23 14.01 14.69 15.36 15.99
Benchmarks
Interest Coverage, Competitors2
Adobe Inc. 22.62 26.41 32.31 35.01 33.97 32.24 29.73 27.80 25.78 23.87 21.37 19.37 17.77 15.72 14.61 12.42 10.08 8.97 7.05 6.29 6.47 6.02
International Business Machines Corp. 13.80 16.74 16.69 17.42 18.08 18.23 19.54 20.60 21.26 21.58 20.57 21.74 23.90 28.57 35.07 40.26 41.09 41.67 42.29
Intuit Inc. 122.50 104.76 82.47 76.15 83.47 64.14 52.11 45.10 36.54 30.56 32.65 35.37 36.22 32.38 30.19 27.37 29.89 43.69 43.60 43.39
salesforce.com inc. 7.38 7.18 7.98 7.18 3.32 2.01 0.68 0.61 1.29 1.53 2.25 2.07 1.89 1.21 0.27 -0.59 -1.91 -2.57 -3.56 -3.54 -3.64

Based on: 10-K (filing date: 2019-06-21), 10-Q (filing date: 2019-03-18), 10-Q (filing date: 2018-12-19), 10-Q (filing date: 2018-09-19), 10-K (filing date: 2018-06-22), 10-Q (filing date: 2018-03-21), 10-Q (filing date: 2017-12-18), 10-Q (filing date: 2017-09-18), 10-K (filing date: 2017-06-27), 10-Q (filing date: 2017-03-17), 10-Q (filing date: 2016-12-19), 10-Q (filing date: 2016-09-19), 10-K (filing date: 2016-06-22), 10-Q (filing date: 2016-03-18), 10-Q (filing date: 2015-12-18), 10-Q (filing date: 2015-09-18), 10-K (filing date: 2015-06-25), 10-Q (filing date: 2015-03-19), 10-Q (filing date: 2014-12-19), 10-Q (filing date: 2014-09-23), 10-K (filing date: 2014-06-26), 10-Q (filing date: 2014-03-20), 10-Q (filing date: 2013-12-20), 10-Q (filing date: 2013-09-20).

1 Q4 2019 Calculation
Interest coverage = (EBITQ4 2019 + EBITQ3 2019 + EBITQ2 2019 + EBITQ1 2019) ÷ (Interest expenseQ4 2019 + Interest expenseQ3 2019 + Interest expenseQ2 2019 + Interest expenseQ1 2019)
= (4,391 + 3,597 + 3,293 + 3,069) ÷ (525 + 509 + 519 + 529) = 6.89

2 Click competitor name to see calculations.

Ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Oracle Corp.’s interest coverage ratio deteriorated from Q2 2019 to Q3 2019 and from Q3 2019 to Q4 2019.