Appfolio Inc (APPF)
Solvency ratios
| 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 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 | 0.30 | 0.33 | 0.18 | 0.20 | 0.21 |
| Debt-to-capital ratio | 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 | 0.40 | 0.43 | 0.26 | 0.28 | 0.29 |
| Debt-to-equity ratio | 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 | 0.66 | 0.77 | 0.36 | 0.38 | 0.41 |
| Financial leverage ratio | 1.29 | 1.38 | 1.44 | 1.56 | 1.54 | 1.44 | 1.42 | 1.42 | 1.39 | 1.37 | 1.40 | 1.39 | 1.33 | 1.36 | 1.36 | 2.22 | 2.35 | 1.97 | 1.86 | 1.91 |
Appfolio Inc's solvency ratios indicate a strong financial position with consistently low debt levels relative to its assets, capital, and equity over the recent quarters. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all been at 0.00, suggesting that the company operates with minimal leverage and has substantial assets and equity to cover its obligations.
Furthermore, the financial leverage ratio has shown stability around 1.40, indicating a moderate level of financial leverage and an efficient capital structure. The company's ability to maintain a low level of debt and leverage signifies a lower financial risk and potential for greater financial flexibility.
Overall, Appfolio Inc's solvency ratios demonstrate a prudent approach to managing its financial resources and a solid foundation for long-term financial stability.
Coverage ratios
| 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 41.67 | 0.36 | -14.55 | -15.19 | -36.75 | -61.12 | -62.25 | -79.81 | -37.62 | -23.71 | -1.85 | -0.83 | 0.25 | 1.73 | 3.54 | 4.31 | 3.14 | 2.17 | 6.79 | 10.94 |
The interest coverage ratio measures a company's ability to pay its interest expenses on outstanding debt. A higher ratio indicates a greater ability to cover interest payments. In the case of Appfolio Inc, the interest coverage ratio has shown significant fluctuations over the past few quarters.
From December 2019 to June 2020, the interest coverage ratio improved steadily from 2.17 to 4.31, indicating a better ability to cover interest expenses. However, starting from September 2020, the ratio experienced a decline, reaching negative values in the following quarters, implying that the company's operating income was insufficient to cover its interest expenses.
Notably, from September 2021 onwards, the interest coverage ratio improved significantly, with values above 1, indicating that the company's operating income was sufficient to cover interest payments. The ratio peaked at 41.67 in March 2024, reflecting a robust ability to cover interest expenses.
Overall, Appfolio Inc's interest coverage ratio has displayed volatility and inconsistency in the recent past, but the recent trend suggests an improvement in the company's ability to cover its interest obligations.