Using the ratios and information given for ABC Airways, an airline company, analyze the capital structure, long-term solvency, and profitability of ABC Airways as of 2024.

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Financial ratios 2024 2023 Leverage Debt ratio (%) 83.2 86.0 Long-term debt to total capital (%) 77.4 77.3 Times interest earned (times) 1.7 1.4 Cash interest coverage (times) 3.2 2.8 Fixed charge coverage (times) Cash flow adequacy (times) 1.3 1.2 Profitability Operating profit margin (%) Net profit margin (%) Cash flow margin (%) 14.2 12.2 2.0 3.7 17.9 16.0 Return on assets (%) 0.8 1.4 Return on equity (%) 4.8 10.0 Cash return on assets (%) 7.4 6.0 Other Information Cash flow from operations 240.6 220.8 (in millions of $) Revenues (in millions of $) 1346.5 1377.4 0.3 0.8