Impinj Inc (PI)
Interest coverage
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 45,868 | 33,559 | 17,168 | -1,204 | -38,840 | -23,819 | -10,045 | -13,120 | -19,194 | -39,417 | -50,817 | -48,859 | -48,557 | -43,860 | -44,461 | -52,284 | -46,421 | -39,203 | -29,823 | -17,370 |
| Interest expense (ttm) | US$ in thousands | 4,873 | 4,867 | 4,861 | 4,855 | 4,848 | 4,840 | 4,832 | 4,871 | 4,923 | 4,690 | 4,011 | 3,286 | 2,550 | 2,968 | 3,802 | 4,626 | 5,413 | 4,552 | 3,605 | 2,677 |
| Interest coverage | 9.41 | 6.90 | 3.53 | -0.25 | -8.01 | -4.92 | -2.08 | -2.69 | -3.90 | -8.40 | -12.67 | -14.87 | -19.04 | -14.78 | -11.69 | -11.30 | -8.58 | -8.61 | -8.27 | -6.49 |
December 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $45,868K ÷ $4,873K
= 9.41
The interest coverage ratio of Impinj Inc shows a significant improvement over the analyzed period, starting from a negative value and gradually increasing towards positive territory. The company's ability to cover its interest expenses improved from having insufficient earnings to cover interest payments to operating with a much healthier cushion.
From March 31, 2020, to June 30, 2021, the interest coverage ratio remained negative, indicating that the company's earnings were insufficient to cover its interest obligations. However, starting from September 30, 2021, the interest coverage ratio turned positive, showing that the company's earnings were more than adequate to cover its interest expenses.
The interest coverage ratio continued to increase steadily until December 31, 2024, indicating a consistently improving financial position. As of the latest available data, the interest coverage ratio stood at a healthy level of 9.41, demonstrating that Impinj Inc's earnings are comfortably exceeding its interest payments.
Overall, the trend in Impinj Inc's interest coverage ratio reflects a positive financial performance, with the company demonstrating an increasing ability to meet its interest obligations from its operating income. This improvement suggests a stronger financial position and enhanced stability in the company's ability to service its debt obligations.
Peer comparison
Dec 31, 2024