BioLife Solutions Inc (BLFS)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.01 | 0.04 | 0.05 | 0.01 | 0.00 |
| Debt-to-capital ratio | 0.01 | 0.05 | 0.06 | 0.01 | 0.00 |
| Debt-to-equity ratio | 0.01 | 0.05 | 0.07 | 0.01 | 0.00 |
| Financial leverage ratio | 1.14 | 1.22 | 1.24 | 1.16 | 1.15 |
BioLife Solutions Inc's solvency ratios reflect the company's ability to meet its long-term financial obligations.
1. Debt-to-assets ratio: This ratio indicates the proportion of the company's assets financed by debt. BioLife Solutions Inc's debt-to-assets ratio has been relatively low and stable, starting at 0.00 in 2020 and gradually increasing to 0.04 in 2023 before slightly decreasing to 0.01 in 2024. This suggests that the company has a low dependency on debt to fund its assets.
2. Debt-to-capital ratio: This ratio measures the percentage of the company's capital structure that is financed through debt. BioLife Solutions Inc's debt-to-capital ratio shows a similar trend to the debt-to-assets ratio, starting at 0.00 in 2020, rising to 0.06 in 2022, and then decreasing to 0.01 in 2024. The company maintains a conservative approach towards debt financing.
3. Debt-to-equity ratio: This ratio compares the portion of the company's assets financed by debt to the portion financed by equity. BioLife Solutions Inc's debt-to-equity ratio has also followed a similar pattern, starting at 0.00 in 2020, peaking at 0.07 in 2022, and then declining to 0.01 in 2024. This indicates that the company relies more on equity financing than debt.
4. Financial leverage ratio: This ratio measures the company's total assets relative to its equity. BioLife Solutions Inc's financial leverage ratio has remained relatively stable around 1.15 to 1.24 over the years, indicating a conservative capital structure.
Overall, BioLife Solutions Inc's solvency ratios suggest that the company has a strong financial position with limited reliance on debt for funding its operations and investments.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | -9.92 | -5,448.08 | -8,085.61 | -290.58 | -346.72 |
BioLife Solutions Inc's interest coverage has shown a concerning trend over the past few years. The interest coverage ratio measures a company's ability to cover its interest expenses with its operating income. A ratio below 1 indicates that the company is not generating enough operating income to cover its interest expenses.
As of December 31, 2020, the interest coverage ratio was -346.72, indicating a significant inability to cover interest expenses. This improved slightly by December 31, 2021, with the ratio at -290.58, but the company still struggled to adequately cover its interest costs.
However, the situation worsened significantly by December 31, 2022, with an interest coverage ratio of -8,085.61. This drastic decrease raises serious concerns about the company's financial health and ability to manage its debt obligations. The ratio improved slightly by December 31, 2023, but remained very low at -5,448.08.
By December 31, 2024, there was a further improvement in the interest coverage ratio, which was -9.92. Although this indicates a slight recovery, the ratio is still below 1, suggesting that the company may continue to face challenges in covering its interest expenses with its operating income.
Overall, BioLife Solutions Inc's interest coverage ratios in recent years reflect a significant struggle to generate enough income to meet its interest obligations, indicating potential financial risks and the need for improved financial performance and debt management.