Impinj Inc (PI)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 46,053 | 94,793 | 19,597 | 123,903 | 23,636 |
| Short-term investments | US$ in thousands | 118,661 | 18,440 | 154,148 | 69,443 | 82,453 |
| Total current liabilities | US$ in thousands | 331,177 | 30,880 | 42,369 | 35,503 | 27,593 |
| Cash ratio | 0.50 | 3.67 | 4.10 | 5.45 | 3.84 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($46,053K
+ $118,661K)
÷ $331,177K
= 0.50
The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents. Looking at Impinj Inc's cash ratio from December 31, 2020, to December 31, 2024, we observe fluctuations in the ratio.
- On December 31, 2020, the cash ratio was 3.84, indicating that Impinj had $3.84 in cash and cash equivalents for every dollar of its short-term liabilities.
- The ratio increased to 5.45 on December 31, 2021, suggesting a strengthened liquidity position.
- By December 31, 2022, the ratio decreased to 4.10, still reflecting a healthy cash position relative to its short-term obligations.
- However, the cash ratio dropped significantly to 3.67 by December 31, 2023, which may raise concerns about the company's ability to cover its short-term liabilities.
- Lastly, on December 31, 2024, the cash ratio plummeted to 0.50, indicating a potential liquidity strain as Impinj's available cash may no longer be sufficient to meet its short-term obligations.
Overall, the trend in Impinj Inc's cash ratio shows fluctuations over the years, with periods of relative strength and potential areas for improvement in managing liquidity to ensure financial stability.
Peer comparison
Dec 31, 2024