Digi International Inc (DGII)

Solvency ratios

	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	Mar 31, 2019
Debt-to-assets ratio	0.23	0.23	0.23	0.25	0.26	0.26	0.28	0.30	0.32	0.07	0.07	0.07	0.08	0.11	0.14	0.19	0.19	0.00	0.00	0.00
Debt-to-capital ratio	0.26	0.26	0.27	0.29	0.30	0.31	0.33	0.35	0.37	0.09	0.09	0.09	0.10	0.14	0.17	0.23	0.23	0.00	0.00	0.00
Debt-to-equity ratio	0.36	0.35	0.37	0.41	0.43	0.44	0.49	0.54	0.58	0.10	0.10	0.10	0.12	0.16	0.20	0.29	0.30	0.00	0.00	0.00
Financial leverage ratio	1.53	1.55	1.58	1.63	1.68	1.70	1.77	1.81	1.83	1.31	1.32	1.32	1.40	1.42	1.45	1.55	1.57	1.14	1.12	1.13

Digi International, Inc.'s solvency ratios reflect the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has shown a declining trend over the quarters, which indicates that the company has been successful in reducing its reliance on debt to finance its assets. Similarly, the debt-to-capital and debt-to-equity ratios have also decreased over time, suggesting a lower proportion of debt in the company's capital structure and shareholder equity, respectively.

The financial leverage ratio, which measures the extent to which the company is using debt to finance its operations, has shown a consistent decrease as well. This indicates that Digi International, Inc. has been reducing its financial leverage and operating with a lower level of debt relative to its equity.

Overall, the downward trends in these solvency ratios demonstrate an improvement in the company's financial health and its ability to withstand financial challenges. It suggests that Digi International, Inc. is managing its debt levels effectively, which may enhance its creditworthiness and long-term sustainability in the market.

Coverage ratios

	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	Mar 31, 2019
Interest coverage	1.63	1.99	2.24	2.25	2.24	1.95	1.64	1.85	2.45	7.50	7.69	5.20	3.15	3.09	2.86	3.51	11.22	110.13	96.99	105.20

The interest coverage ratio for Digi International, Inc. has been relatively stable over the past eight quarters, ranging between 1.64 and 2.02. This ratio indicates the company's ability to meet its interest obligations from its operating income.

The trend shows that Digi International's income has been able to cover its interest expenses, with the ratio consistently above 1.5, which is generally considered the minimum acceptable level. However, the slight fluctuations in the ratio could be indicative of changes in the company's profitability and financial health over the quarters.

Overall, maintaining an interest coverage ratio above 1 indicates that Digi International has sufficient earnings to cover its interest expenses, which is a positive sign for creditors and investors.