Cytokinetics Inc (CYTK)
Solvency ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | — | — | 0.00 | — | — | — | — | — | — | — | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — | — |
| Debt-to-equity ratio | — | — | 0.00 | — | — | — | — | — | — | — | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — | — |
| Financial leverage ratio | — | — | 14.04 | — | — | — | — | — | — | — | 6.93 | 7.36 | 3.45 | 3.32 | 34.22 | 8.51 | 4.71 | 3.17 | — | — |
Cytokinetics Inc has consistently shown a very low debt-to-assets ratio, indicating that the company carries minimal debt in relation to its total assets. This implies a strong solvency position and financial stability as the company's assets are primarily financed through equity rather than debt.
The debt-to-capital ratio and debt-to-equity ratio, which are measures of a company's financial leverage, were either very low or not determinable for most reporting periods. This suggests that Cytokinetics Inc has a conservative capital structure with a low reliance on debt to finance its operations, leading to lower financial risk and greater resilience to economic downturns.
The financial leverage ratio, although showing fluctuations over the periods, indicates a relatively low level of financial leverage in recent years, with some spikes in certain quarters. It is essential for investors and creditors to monitor this ratio closely to ensure that the company's financial leverage remains at a sustainable level.
Overall, based on the solvency ratios analyzed, Cytokinetics Inc appears to have a strong financial position with low debt levels and prudent debt management practices, positioning the company favorably in terms of its ability to meet its financial obligations and sustain long-term growth.
Coverage ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | -5.84 | -6.15 | -6.50 | -7.59 | -8.13 | -8.26 | -8.20 | -6.82 | -6.60 | -5.46 | -5.32 | -7.17 | -6.44 | -6.67 | -3.78 | -2.81 | -2.32 | -2.09 | -3.07 | -3.23 |
The interest coverage ratio of Cytokinetics Inc has shown a declining trend over the reported periods from March 2020 to December 2024. This ratio indicates the company's ability to meet its interest obligations based on its earnings before interest and taxes (EBIT). The negative values recorded suggest that the company's EBIT is insufficient to cover its interest expenses.
The interest coverage ratio deteriorated from -3.23 in March 2020 to a low of -8.26 in September 2023 before showing some improvement to -5.84 by December 2024. Despite this slight improvement, the company still faces challenges in generating enough operating income to cover its interest payments.
A consistently low or negative interest coverage ratio may raise concerns among investors and creditors about the company's financial stability and ability to service its debt. It is essential for Cytokinetics Inc to focus on improving its profitability and operational efficiency to enhance its ability to meet its interest obligations in the future.