BioLife Solutions Inc (BLFS)
Interest coverage
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | -13,096 | -27,637 | -54,861 | -67,346 | -70,823 | -106,939 | -89,896 | -151,179 | -145,541 | -114,735 | -114,154 | -42,146 | -35,160 | -22,104 | -12,075 | -23,900 | -610 | 6,241 | 17,641 | 38,274 |
| Interest expense (ttm) | US$ in thousands | 835 | 835 | 568 | 207 | 13 | 451 | 461 | 470 | 620 | 283 | 467 | 579 | 432 | 332 | 141 | 20 | 5 | 4 | 2 | 3 |
| Interest coverage | -15.68 | -33.10 | -96.59 | -325.34 | -5,447.92 | -237.12 | -195.00 | -321.66 | -234.74 | -405.42 | -244.44 | -72.79 | -81.39 | -66.58 | -85.64 | -1,195.00 | -122.00 | 1,560.25 | 8,820.50 | 12,758.00 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $-13,096K ÷ $835K
= -15.68
The interest coverage ratio reflects the company's ability to cover its interest expenses with its earnings before interest and taxes (EBIT). A higher interest coverage ratio indicates a company's better ability to meet interest payments on its debt obligations.
Based on the data provided, BioLife Solutions Inc has shown fluctuating interest coverage ratios over the past few years. The interest coverage ratio was very high at 12,758.00 as of March 31, 2020, indicating the company had a significant buffer to cover its interest expenses. However, the ratio declined to 8,820.50 by June 30, 2020, and even further to 1,560.25 by September 30, 2020.
The trend worsened with negative interest coverage ratios starting from December 31, 2020, which continued through to December 31, 2024. Negative interest coverage ratios indicate that the company's EBIT was insufficient to cover its interest expenses during those periods. This raises concerns about the company's ability to meet its financial obligations, particularly its interest payments.
Overall, the declining trend and persistent negative interest coverage ratios suggest that BioLife Solutions Inc may be facing financial challenges related to its debt obligations. Investors and stakeholders should closely monitor the company's financial health and debt management strategies to assess its ability to address these concerns and ensure long-term sustainability.
Peer comparison
Dec 31, 2024