Impinj Inc (PI)

The solvency ratios of Impinj Inc reflect its ability to meet its long-term financial obligations.

The Debt-to-assets ratio has shown a gradual decrease from 0.88 in 2021 to 0.78 in 2023, indicating that the company's level of debt in relation to its total assets has been improving over the years.

The Debt-to-capital ratio follows a similar trend, decreasing from 1.04 in 2021 to 0.89 in 2023, suggesting that the proportion of debt in the company's capital structure has been declining, which can be seen as a positive indicator for creditors and investors.

The Debt-to-equity ratio shows significant fluctuations, from 17.97 in 2022 to 8.26 in 2023. This ratio indicates the extent to which the company is financed by debt relative to equity, with a lower ratio being preferable as it signals a lower dependence on debt financing.

The Financial leverage ratio has also displayed a decline, from 22.43 in 2022 to 10.53 in 2023. This ratio highlights the proportion of the company's assets that are funded by debt rather than equity, emphasizing a decreasing reliance on debt for asset financing.

Overall, the solvency ratios of Impinj Inc have generally improved over the years, signaling a strengthened financial position and increased ability to meet its long-term debt obligations.

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Coverage ratios

The interest coverage ratio for Impinj Inc has shown a significant fluctuation over the past five years. The ratio was -8.01 in 2023, indicating that the company's operating income was insufficient to cover its interest expenses by a significant margin. This is a worse performance compared to the previous year where the ratio was -3.90, suggesting further deterioration in the company's ability to cover its interest payments.

In 2021, the interest coverage ratio was -19.04, reflecting a substantial decline from the previous year. The company faced significant challenges in generating enough earnings to cover its interest expenses, which is a concerning trend for creditors and investors.

In 2020 and 2019, the interest coverage ratios were -8.58 and -11.70, respectively, showing persistent issues with the company's ability to meet its interest obligations. These ratios indicate a consistent pattern of insufficient earnings to cover interest expenses over the years.

Overall, the declining trend in the interest coverage ratio for Impinj Inc raises red flags about the company's financial health and its ability to manage debt effectively. It suggests that the company may face challenges in servicing its debt and meeting its financial obligations in the long run.