Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Paying user area
Try for free
SLB N.V. pages available for free this week:
- Statement of Comprehensive Income
- Common-Size Income Statement
- Common-Size Balance Sheet: Liabilities and Stockholders’ Equity
- Analysis of Short-term (Operating) Activity Ratios
- Analysis of Geographic Areas
- Capital Asset Pricing Model (CAPM)
- Dividend Discount Model (DDM)
- Total Asset Turnover since 2005
- Price to Book Value (P/BV) since 2005
- Aggregate Accruals
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to SLB N.V. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Solvency Ratios (Summary)
SLB N.V., solvency ratios (quarterly data)
Based on: 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 financial data indicates a sustained long-term improvement in solvency and a systematic reduction in debt levels from early 2022 through early 2026. A consistent downward trajectory is evident across most leverage metrics, reflecting a strategic shift toward a more conservative capital structure.
- Debt Accumulation Ratios
- A significant reduction in debt relative to equity, capital, and assets is observed. The debt-to-equity ratio declined from 0.92 in March 2022 to 0.44 by March 2026. Similarly, the debt-to-capital ratio decreased from 0.48 to 0.31, and the debt-to-assets ratio fell from 0.34 to 0.21. These trends demonstrate a lower reliance on borrowed funds. A temporary increase in these ratios occurred in March 2025, suggesting a short-term financing event, before the downward trend resumed.
- Financial Leverage
- Financial leverage exhibited a general decrease, moving from 2.73 in March 2022 to 2.08 by March 2026. The reduction indicates a lower overall risk profile regarding the company's asset base. Similar to the debt ratios, a transient spike to 2.51 was recorded in March 2025, followed by a return to the primary descending trend.
- Interest Coverage Capacity
- The interest coverage ratio experienced a strong expansion during the initial phase of the period, rising from 5.99 in March 2022 to a peak of 12.19 in September 2024, which denotes a greatly enhanced capacity to service interest payments. However, a contraction phase began in late 2024, with the ratio descending to 8.94 by March 2026. Despite this recent decline, the coverage remains well above the levels recorded at the start of the analysis period.
Debt Ratios
Coverage Ratios
Debt to Equity
SLB N.V., debt to equity calculation (quarterly data)
Based on: 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 Q1 2026 Calculation
Debt to equity = Total debt ÷ Total SLB stockholders’ equity
= ÷ =
An analysis of the solvency position reveals a sustained improvement in the financial leverage profile from March 2022 through March 2026. The overall trajectory is characterized by a significant reduction in the reliance on borrowed capital relative to equity, indicating a strengthening of the long-term financial position.
- Debt to Equity Ratio Trend
- The debt to equity ratio exhibited a consistent downward trend over the analyzed period, decreasing from a peak of 0.92 in March 2022 to 0.44 by March 2026. Although a temporary increase to 0.72 was observed in March 2025, the ratio subsequently declined to its lowest levels in the series, signifying a lower risk profile regarding solvency.
- Total Debt Dynamics
- Total debt levels fluctuated but maintained a general decline, starting at 14,086 million USD in March 2022 and ending at 11,608 million USD in March 2026. Periodic increases, such as the rise to 14,002 million USD in March 2025, were offset by subsequent reductions, resulting in a net decrease in absolute liabilities.
- Equity Expansion
- Stockholders' equity grew substantially, rising from 15,347 million USD in March 2022 to 26,177 million USD in March 2026. A period of accelerated growth is evident in 2025, where equity increased from 19,515 million USD in March to over 25,000 million USD by September. This expansion of the equity base served as the primary driver for the reduction in the leverage ratio.
The combination of reducing total debt and aggressively expanding stockholders' equity suggests a strategic shift toward a more conservative capital structure. This trend has resulted in a significant improvement in the company's ability to cover its obligations through its own capital.
Debt to Capital
SLB N.V., debt to capital calculation (quarterly data)
Based on: 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 Q1 2026 Calculation
Debt to capital = Total debt ÷ Total capital
= ÷ =
The financial trajectory over the observed period indicates a strengthening solvency position, characterized by a sustained reduction in the reliance on debt relative to the total capital base.
- Total Debt Trends
- Total debt levels exhibited a volatile but generally downward trend. From an initial 14,086 million USD in March 2022, debt decreased to 11,965 million USD by December 2023. Although a temporary increase occurred, peaking at 14,002 million USD in March 2025, the balance subsequently declined to its lowest point of 11,608 million USD by March 2026.
- Total Capital Expansion
- A consistent growth pattern is observed in total capital, which rose from 29,433 million USD in March 2022 to a peak of 38,401 million USD in June 2025. This expansion of the capital base played a critical role in improving the solvency profile, as the growth in capital consistently outpaced the fluctuations in total debt.
- Debt to Capital Ratio Performance
- The debt to capital ratio declined from 0.48 in March 2022 to 0.31 by March 2026. A period of steady deleveraging is evident between March 2022 and December 2024, during which the ratio dropped to 0.36. A brief spike to 0.42 was recorded in March 2025; however, this was followed by a rapid correction, leading to a stabilized low of 0.31 in the final two quarters of the analyzed period.
Debt to Assets
SLB N.V., debt to assets calculation (quarterly data)
Based on: 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 Q1 2026 Calculation
Debt to assets = Total debt ÷ Total assets
= ÷ =
The solvency profile of the entity demonstrates a consistent long-term improvement in financial leverage, characterized by a significant reduction in the debt to assets ratio from 0.34 in March 2022 to 0.21 by March 2026. This trend indicates a strategic shift toward a more conservative capital structure and an increased capacity to cover liabilities with existing assets.
- Debt to Assets Ratio Trends
- The ratio exhibited a primary downward trajectory, falling from a peak of 0.34 in early 2022 to a floor of 0.21 in the first quarter of 2026. While the ratio remained relatively stable between 0.25 and 0.30 throughout 2023 and 2024, a more pronounced decline occurred between March 2025 and March 2026, where the ratio dropped from 0.29 to 0.21.
- Total Debt Dynamics
- Total debt showed fluctuations but followed an overall descending path. Starting at 14,086 million USD in March 2022, debt levels reached several local lows, most notably ending the period at 11,608 million USD in March 2026. Despite intermittent increases, such as the rise to 14,002 million USD in December 2024, the overall trend reflects a reduction in the total borrowing burden.
- Total Asset Growth
- The improvement in the solvency ratio was driven not only by debt reduction but also by a steady expansion of the asset base. Total assets grew from 41,967 million USD in March 2022 to 54,526 million USD by March 2026. A significant acceleration in asset growth is observed in late 2025, with assets peaking at 55,093 million USD in June 2025, which contributed substantially to the compression of the debt to assets ratio.
The convergence of decreasing total debt and increasing total assets has resulted in a strengthened balance sheet. The reduction of the ratio to 0.21 suggests that a smaller proportion of the company's assets are financed through debt compared to the start of the analyzed period, thereby lowering the overall financial risk profile.
Financial Leverage
SLB N.V., financial leverage calculation (quarterly data)
Based on: 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 Q1 2026 Calculation
Financial leverage = Total assets ÷ Total SLB stockholders’ equity
= ÷ =
A sustained trend of deleveraging is evident over the analyzed period from March 31, 2022, to March 31, 2026. The financial leverage ratio decreased from 2.73 to 2.08, indicating a strategic shift toward a more conservative capital structure and a reduction in the reliance on debt relative to equity.
- Asset and Equity Growth
- Total assets experienced an overall upward trajectory, growing from 41,967 million USD in March 2022 to 54,526 million USD by March 2026. During the same interval, stockholders' equity grew more aggressively, rising from 15,347 million USD to 26,177 million USD. The fact that equity growth outpaced asset growth is the primary driver behind the decline in the financial leverage ratio.
- Financial Leverage Trajectory
- The leverage ratio showed a consistent decline for the majority of the period, moving from 2.73 in early 2022 to a low of 2.31 by June 2024. This suggests a period of steady balance sheet strengthening. A temporary reversal occurred on March 31, 2025, where the ratio spiked to 2.51, coinciding with a contraction in stockholders' equity to 19,515 million USD.
- Recent Capital Structure Shifts
- Following the peak in leverage in early 2025, a significant correction is observed. Between March 31, 2025, and September 30, 2025, stockholders' equity increased sharply from 20,302 million USD to 25,635 million USD. This substantial injection or accumulation of equity resulted in a rapid decline in financial leverage, reaching 2.15 in September 2025 and continuing down to 2.08 by March 31, 2026.
The overall analysis indicates that the organization has successfully lowered its financial risk profile. The transition from a leverage ratio of 2.73 to 2.08 reflects an improved solvency position and greater financial stability, despite a temporary volatility in equity levels during the first quarter of 2025.
Interest Coverage
SLB N.V., interest coverage calculation (quarterly data)
Based on: 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 Q1 2026 Calculation
Interest coverage
= (EBITQ1 2026
+ EBITQ4 2025
+ EBITQ3 2025
+ EBITQ2 2025)
÷ (Interest expenseQ1 2026
+ Interest expenseQ4 2025
+ Interest expenseQ3 2025
+ Interest expenseQ2 2025)
= ( + + + )
÷ ( + + + )
=
The interest coverage ratio experienced a substantial growth cycle from March 2022 through September 2024, followed by a period of moderation and subsequent decline. This trajectory reflects a significant expansion in the margin of safety regarding debt service obligations, although more recent quarters indicate a contraction in this capacity.
- Operating Earnings Performance
- Earnings before interest and tax (EBIT) exhibited a strong ascending trend during the first half of the period, rising from 761 million USD in March 2022 to a peak of 1,643 million USD in September 2024. A subsequent reversal is observed, with EBIT declining to 1,072 million USD by March 2026, which acted as the primary driver for the reduced coverage ratios in the latter part of the timeline.
- Interest Expense Volatility
- Interest expenses remained relatively stable, fluctuating within a narrow range between 113 million USD and 147 million USD. A slight increase in interest costs was noted between March 2025 and September 2025, peaking at 147 million USD, which further contributed to the compression of the coverage ratio during that window.
- Interest Coverage Ratio Dynamics
- The coverage ratio improved markedly from 5.99 in March 2022 to a maximum of 12.19 in September 2024, indicating a period of strengthened solvency. From December 2024 onward, the ratio entered a downward phase, reaching a low of 8.69 in December 2025 before a marginal recovery to 8.94 in March 2026. Despite this recent decline, the ratio remains substantially higher than the levels recorded in early 2022, suggesting that the capacity to service interest remains robust.