Impinj Inc (PI)
Cash ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 46,053 | 73,704 | 214,653 | 166,852 | 94,793 | 78,100 | 45,244 | 37,483 | 19,597 | 39,310 | 32,580 | 63,543 | 123,903 | 65,190 | 51,175 | 49,796 | 23,636 | 40,063 | 97,488 | 83,722 |
| Short-term investments | US$ in thousands | 118,661 | 96,551 | 5,563 | 7,292 | 18,440 | 35,129 | 63,656 | 117,061 | 154,148 | 142,541 | 130,719 | 101,724 | 69,443 | 48,153 | 60,788 | 69,551 | 82,453 | 65,057 | 23,419 | 35,497 |
| Total current liabilities | US$ in thousands | 331,177 | 331,095 | 318,922 | 34,443 | 30,880 | 33,758 | 50,878 | 54,604 | 42,369 | 33,635 | 25,333 | 32,642 | 35,503 | 107,215 | 107,706 | 112,185 | 27,593 | 19,583 | 24,449 | 19,664 |
| Cash ratio | 0.50 | 0.51 | 0.69 | 5.06 | 3.67 | 3.35 | 2.14 | 2.83 | 4.10 | 5.41 | 6.45 | 5.06 | 5.45 | 1.06 | 1.04 | 1.06 | 3.84 | 5.37 | 4.95 | 6.06 |
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 of Impinj Inc has demonstrated fluctuating levels over the period from March 31, 2020, to December 31, 2024. The cash ratio indicates the company's ability to cover its short-term liabilities with the cash and cash equivalents on hand.
Initially, the cash ratio was relatively high, ranging from 3.84 to 6.45, signaling a strong ability to cover short-term obligations with cash reserves. However, in the subsequent periods, there was a notable decline in the cash ratio, reaching as low as 0.50 by December 31, 2024. This suggests that the company's liquidity position weakened during this period.
The decline in the cash ratio may be indicative of various factors such as increased operating expenses, lower cash reserves, or possibly poor management of working capital. A low cash ratio could signal potential liquidity risks for the company, as it may struggle to meet its short-term obligations solely from its cash holdings.
It is important for Impinj Inc to closely monitor its cash position and work towards improving its liquidity to ensure it can meet its financial obligations and sustain its operations effectively. Revisiting its cash management strategies, optimizing working capital, and exploring avenues to enhance cash reserves could help the company strengthen its financial position in the future.
Peer comparison
Dec 31, 2024