Procaccianti Hotel Reit Inc (PRXA) Financials

PRXA

Trailing 12 months to June 30, 2026

Revenue $31.8M -3.5% YoY

Net Income $555K -78.6% YoY

EPS (Diluted) Not reported for the trailing 12 months

Operating Cash Flow $4.6M -32.4% YoY

Source SEC Filings (10-K/10-Q) Latest period Q2 FY2026, ended Jun 30, 2026 Reported Aug 12, 2026 Currency USD FYE December

Newest figures come from the 10-Q for Q2 FY2026, filed Aug 12, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the PRXA SEC filings page.

Procaccianti Hotel Reit Inc (PRXA) reported $31.8M in revenue over the twelve months to Jun 30, 2026, down 3.5% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 9 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI PRXA FY2025 2026-08-29

Operating profitability is improving, but financing costs, distributions, and rising leverage are weakening the shrinking equity base.

The margin pattern is a recovery rather than uninterrupted expansion: operating margin rose from 15.6% in FY2023 to 19.1% in FY2025, while revenue changed only modestly. That separation points to better conversion of sales into operating profit, yet financing costs absorb much of the improvement: interest expense consumed 64.0% of FY2025 operating income, coinciding with net margin falling to 5.7%.

Operating cash flow was $6.1M against net income of $1.9M, so accounting earnings understate cash generated before investment. Because free cash flow is unavailable, the reported cash conversion should be read as pre-investment rather than surplus cash generation.

Debt-to-equity climbed from 2.0x in FY2024 to 2.4x in FY2025, indicating greater reliance on creditors as equity contracted. Equity fell to $27.6M while dividends reached $5.4M, exceeding annual net income and leaving less internally retained capital.

Financial Health Signals

Financial health score not available

Procaccianti Hotel Reit Inc does not currently provide enough eligible data for a peer-relative financial health score, so none is published. The signals and metrics below are current.

Piotroski F-Score Partial

4/6

Procaccianti Hotel Reit Inc passes 4 of 6 computable financial strength tests (3 of the nine could not be computed from available data). 3 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.

Earnings Quality Cash-Backed

3.29x

For every $1 of reported earnings, Procaccianti Hotel Reit Inc generates $3.29 in operating cash flow ($6.1M OCF vs $1.9M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage At Risk

1.56x

Procaccianti Hotel Reit Inc earns $1.56 in operating income for every $1 of interest expense ($6.3M vs $4.0M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.

Key Financial Metrics

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Earnings & Revenue

Revenue

$8.9M

YoY-3.0%

QoQ+74.1%

5Y CAGR+7.2%

Procaccianti Hotel Reit Inc generated $8.9M in revenue in Q2 2026. This represents a decrease of 3.0% from the same quarter a year earlier. Against the prior quarter it is up 74.1%.

EBITDA

$3.0M

YoY-11.0%

QoQ+1208.9%

5Y CAGR+7.3%

Procaccianti Hotel Reit Inc's EBITDA was $3.0M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 11.0% from the same quarter a year earlier. Against the prior quarter it is up 1208.9%.

Net Income

$988K

YoY-30.1%

QoQ+154.5%

5Y CAGR-6.7%

Procaccianti Hotel Reit Inc reported $988K in net income in Q2 2026. This represents a decrease of 30.1% from the same quarter a year earlier. Against the prior quarter it is up 154.5%.

EPS (Diluted)

Not reported for Q2 2026.

Cash & Balance Sheet

Cash & Debt

$10.2M

YoY-8.1%

QoQ+4.5%

5Y CAGR+0.5%

Procaccianti Hotel Reit Inc held $10.2M in cash as of Q2 2026; long-term debt is not reported for that period.

Free Cash Flow

Not reported for Q2 2026.

Dividends Per Share

Not reported for Q2 2026.

Shares Outstanding

Not reported for Q2 2026.

Margins & Returns

Operating Margin

23.2%

YoY-3.1pp

QoQ+37.4pp

5Y CAGR+1.9pp

Procaccianti Hotel Reit Inc's operating margin was 23.2% in Q2 2026, reflecting core business profitability. This is down 3.1 percentage points from the same quarter a year earlier. Against the prior quarter it is up 37.4 percentage points.

Net Margin

11.1%

YoY-4.3pp

QoQ+46.5pp

5Y CAGR-11.2pp

Procaccianti Hotel Reit Inc's net profit margin was 11.1% in Q2 2026, showing the share of revenue converted to profit. This is down 4.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 46.5 percentage points.

Return on Equity

4.0%

YoY-0.6pp

QoQ+11.3pp

5Y CAGR+0.1pp

Procaccianti Hotel Reit Inc's ROE was 4.0% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is down 0.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 11.3 percentage points.

Gross Margin

Not reported for Q2 2026.

Capital Allocation

Share Buybacks

$201K

YoY-2.0%

QoQ-2.4%

5Y CAGR-7.0%

Procaccianti Hotel Reit Inc spent $201K on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 2.0% from the same quarter a year earlier. Against the prior quarter it is down 2.4%.

R&D Spending

Not reported for Q2 2026.

Capital Expenditures

Not reported for Q2 2026.

PRXA Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

PRXA quarterly income statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K
Revenue	$31.8M	$32.8M+3.0%	$31.9M+6.3%	$30.0M-2.2%	$30.6M+23.0%	$24.9M+90.3%	$13.1M-25.8%	$17.6M+73.6%	$10.2M	N/A
Cost of Revenue	N/A	N/A	N/A	N/A	N/A	N/A	$14.9M+2.4%	$14.5M+48.0%	$9.8M	N/A
Gross Profit	N/A	N/A	N/A	N/A	N/A	N/A	-$1.8M-157.8%	$3.1M+826.6%	$335K	N/A
SG&A Expenses	$1.4M	$1.4M+8.0%	$1.3M-10.6%	$1.4M0.0%	$1.4M-2.7%	$1.4M-2.7%	$1.5M+3.0%	$1.4M+10.0%	$1.3M+113.7%	$615K
Operating Income	$5.4M	$6.3M+10.5%	$5.7M+21.6%	$4.7M-36.2%	$7.3M+71.8%	$4.3M+321.9%	-$1.9M-162.1%	$3.1M+723.2%	$377K+161.2%	-$615K
EBITDA	N/A	$10.3M+3.2%	$10.0M+13.6%	$8.8M-21.6%	$11.2M+46.7%	$7.6M+601.6%	$1.1M-79.7%	$5.3M+218.1%	$1.7M	N/A
Interest Expense	$4.2M	$4.0M+4.4%	$3.9M+24.6%	$3.1M+11.3%	$2.8M+7.1%	$2.6M+1.7%	$2.5M+32.0%	$1.9M+56.9%	$1.2M	N/A
Income Tax	$532K	$300K+382.8%	-$106K+28.9%	-$149K-201.6%	$147K+471.3%	$26K+4127.4%	$609-98.6%	$43K+291.9%	-$22K	N/A
Net Income	$555K	$1.9M-10.1%	$2.1M+17.7%	$1.8M-67.9%	$5.5M+64.1%	$3.3M+173.6%	-$4.5M-750.9%	$697K+159.4%	-$1.2M-91.2%	-$613K

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Revenue	$8.9M-3.0%	$5.1M-12.6%	$6.0M-11.8%	$11.8M+5.7%	$9.2M+7.5%	$5.8M+9.0%	$6.8M+22.0%	$11.2M+1.9%
SG&A Expenses	$336K-4.2%	$310K+9.0%	$397K+18.7%	$328K+16.9%	$351K-4.3%	$285K+2.3%	$335K-18.1%	$280K-12.7%
Operating Income	$2.1M-14.3%	-$724K-267.4%	-$365K-194.8%	$4.4M+16.0%	$2.4M+35.2%	-$197K+35.3%	$385K+169.0%	$3.8M+0.8%
EBITDA	$3.0M-11.0%	$230K-74.3%	$610K-59.1%	$5.4M+10.2%	$3.4M+19.0%	$894K+21.1%	$1.5M+201.6%	$4.9M+1.7%
Interest Expense	$1.0M+6.8%	$1.0M+8.2%	$1.0M+3.7%	$1.1M+4.5%	$951K-4.8%	$958K+16.1%	$1.0M+20.4%	$1.0M+28.8%
Income Tax	$5K+164.7%	$2K+100.7%	-$14K+88.6%	$539K+105.9%	-$8K-14.8%	-$217K+9.3%	-$122K+22.3%	$262K+35.0%
Net Income	$988K-30.1%	-$1.8M-93.9%	-$1.4M-201.9%	$2.8M+8.5%	$1.4M+78.8%	-$934K-12.4%	-$470K+59.6%	$2.6M-8.4%

Not reported in any period shown, so not listed: Cost of Revenue, Gross Profit, R&D Expenses, EPS (Basic), EPS (Diluted), Diluted Shares (Avg).

PRXA Balance Sheet

PRXA quarterly balance sheet

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K
Total Assets	$104.5M-2.9%	$107.6M-2.3%	$110.1M-3.3%	$113.8M+0.2%	$113.7M+12.6%	$101.0M+29.8%	$77.8M+9.9%	$70.7M+1150.2%	$5.7M
Cash & Equivalents	$10.9M-1.8%	$11.1M+3.3%	$10.7M-4.3%	$11.2M+13.7%	$9.8M-4.2%	$10.3M-21.0%	$13.0M+242.3%	$3.8M-32.9%	$5.7M
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0
Accounts Receivable	$197K+33.1%	$148K-47.6%	$282K-31.8%	$414K-8.9%	$454K+263.5%	$125K-44.3%	$224K+15.3%	$195K	N/A
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Liabilities	$71.7M+3.4%	$69.4M0.0%	$69.4M-0.3%	$69.6M-0.1%	$69.7M+10.4%	$63.1M+45.3%	$43.4M-14.9%	$51.0M+22447.9%	$226K
Long-Term Debt	$67.3M+3.9%	$64.8M+0.7%	$64.3M-0.9%	$64.9M+1.4%	$64.0M+13.5%	$56.4M+42.2%	$39.7M-4.2%	$41.4M	N/A
Total Equity	$27.6M-14.4%	$32.3M-6.3%	$34.5M-7.9%	$37.4M+1.0%	$37.1M+20.4%	$30.8M+10.9%	$27.7M+116.0%	$12.8M+136.5%	$5.4M

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Total Assets	$103.5M-3.4%	$102.3M-2.9%	$104.5M-2.9%	$107.8M-1.7%	$107.1M-2.2%	$105.3M-3.3%	$107.6M-2.3%	$109.6M-2.9%
Cash & Equivalents	$10.2M-8.1%	$9.7M+3.8%	$10.9M-1.8%	$13.1M+8.8%	$11.1M-1.8%	$9.4M-6.0%	$11.1M+3.3%	$12.0M-1.9%
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Accounts Receivable	$546K+738.1%	$171K-36.1%	$197K+33.1%	$316K-8.6%	$65K-83.1%	$267K+11.2%	$148K-47.6%	$345K-26.9%
Long-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Total Liabilities	$73.7M+3.7%	$72.3M+4.3%	$71.7M+3.4%	$72.5M+3.8%	$71.0M-0.1%	$69.3M-0.9%	$69.4M0.0%	$69.8M+0.2%
Long-Term Debt	N/A	N/A	$67.3M+3.9%	N/A	N/A	N/A	$64.8M+0.7%	N/A
Total Equity	$24.6M-19.0%	$24.8M-17.7%	$27.6M-14.4%	$29.8M-11.9%	$30.4M-5.6%	$30.1M-7.2%	$32.3M-6.3%	$33.8M-7.4%

Not reported in any period shown, so not listed: Current Assets, Inventory, Goodwill, Current Liabilities, Non-Current Liabilities, Retained Earnings.

PRXA Cash Flow Statement

PRXA quarterly cash flow statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K
Operating Cash Flow	$4.6M	$6.1M-8.3%	$6.7M+3.3%	$6.4M-22.3%	$8.3M+103.4%	$4.1M+953.7%	-$478K-115.4%	$3.1M+589.1%	-$635K-200.7%	-$211K
Depreciation & Amortization	N/A	$4.0M-6.5%	$4.3M+4.5%	$4.1M+6.3%	$3.9M+14.8%	$3.4M+11.6%	$3.0M+34.0%	$2.2M+72.3%	$1.3M	N/A
Investing Cash Flow	-$1.1M	-$1.4M+4.0%	-$1.4M-41.8%	-$1.0M+61.6%	-$2.6M+83.7%	-$16.0M-28.5%	-$12.4M-1412.1%	-$823K+97.5%	-$33.3M	N/A
Financing Cash Flow	-$4.4M	-$4.9M-1.2%	-$4.9M+17.6%	-$5.9M-36.6%	-$4.3M-137.8%	$11.5M+12.6%	$10.2M+47.4%	$6.9M-78.4%	$32.1M+474.0%	$5.6M
Dividends Paid	$6.3M	$5.4M+79.4%	$3.0M-1.3%	$3.0M+0.2%	$3.0M-7.4%	$3.3M+90.1%	$1.7M+64.3%	$1.0M+110.9%	$494K+1392.7%	$33K
Share Buybacks	$817K	$821K+2.8%	$798K-29.7%	$1.1M+11.4%	$1.0M+7.7%	$946K+201.4%	$314K+376.3%	$66K-65.4%	$191K	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Operating Cash Flow	$2.1M-40.3%	$63K-46.5%	-$735K-196.3%	$3.2M+29.6%	$3.5M+35.4%	$117K-85.8%	$762K+424.1%	$2.5M-17.2%
Depreciation & Amortization	$950K-3.0%	$955K-12.5%	$967K-12.0%	$964K-10.3%	$980K-7.9%	$1.1M+4.6%	$1.1M+5.3%	$1.1M+4.7%
Investing Cash Flow	-$368K-6.0%	-$169K+59.5%	-$327K+28.1%	-$269K+14.5%	-$347K-21.0%	-$418K-15.5%	-$455K-96.8%	-$314K+3.9%
Financing Cash Flow	-$1.3M+12.4%	-$1.0M+25.8%	-$1.2M+8.6%	-$931K+34.0%	-$1.5M-44.7%	-$1.4M-16.2%	-$1.3M+13.2%	-$1.4M+1.3%
Dividends Paid	$1.1M-14.7%	$756K+1.1%	$751K+0.4%	$3.6M+185.9%	$1.3M+5.3%	$748K-0.6%	$747K-4.1%	$1.3M+1.5%
Share Buybacks	$201K-2.0%	$206K+0.5%	$208K+5.2%	$202K+1.4%	$205K+1.0%	$205K+3.8%	$198K+0.3%	$199K+1.2%

Not reported in any period shown, so not listed: Stock-Based Compensation, Capital Expenditures, Free Cash Flow.

PRXA Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

PRXA quarterly financial ratios

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K
Gross Margin	N/A	N/A	N/A	N/A	N/A	-13.7%-31.3pp	17.6%+14.3pp	3.3%	N/A
Operating Margin	19.1%+1.3pp	17.8%+2.2pp	15.6%-8.3pp	23.9%+6.8pp	17.1%+31.8pp	-14.7%-32.3pp	17.6%+13.9pp	3.7%	N/A
Net Margin	5.7%-0.8pp	6.5%+0.6pp	5.9%-12.0pp	17.9%+4.5pp	13.4%+48.0pp	-34.6%-38.6pp	4.0%+15.5pp	-11.6%	N/A
Return on Equity	6.7%+0.3pp	6.4%+1.3pp	5.1%-9.6pp	14.6%+5.6pp	9.0%+23.8pp	-14.7%-17.3pp	2.5%+11.6pp	-9.1%+2.2pp	-11.3%
Return on Assets	1.8%-0.1pp	1.9%+0.3pp	1.6%-3.2pp	4.8%+1.9pp	2.9%+7.4pp	-4.5%-5.4pp	0.9%+2.6pp	-1.7%+9.2pp	-10.8%
Debt-to-Equity	2.43+0.4x	2.01+0.1x	1.87+0.1x	1.730.0x	1.73-0.1x	1.83+0.4x	1.43-1.8x	3.22+3.2x	0.04
Asset Turnover	0.310.0x	0.300.0x	0.270.0x	0.270.0x	0.22+0.1x	0.13-0.1x	0.23+0.1x	0.14	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Operating Margin	23.2%-3.1pp	-14.2%-10.8pp	-6.1%-11.8pp	37.5%+3.3pp	26.2%+5.4pp	-3.4%+2.3pp	5.7%+15.7pp	34.2%-0.4pp
Net Margin	11.1%-4.3pp	-35.4%-19.4pp	-23.7%-16.8pp	23.6%+0.6pp	15.4%+6.1pp	-16.0%-0.5pp	-6.9%+14.0pp	23.0%-2.6pp
Return on Equity	4.0%-0.6pp	-7.3%-4.2pp	-5.1%-3.7pp	9.4%+1.8pp	4.7%+2.2pp	-3.1%-0.5pp	-1.5%+1.9pp	7.6%-0.1pp
Return on Assets	0.9%-0.4pp	-1.8%-0.9pp	-1.4%-0.9pp	2.6%+0.2pp	1.3%+0.6pp	-0.9%-0.1pp	-0.4%+0.6pp	2.4%-0.1pp
Debt-to-Equity	2.99+0.7x	2.91+0.6x	2.43+0.4x	2.44+0.4x	2.34+0.1x	2.30+0.1x	2.01+0.1x	2.07+0.2x
Asset Turnover	0.090.0x	0.050.0x	0.060.0x	0.110.0x	0.090.0x	0.060.0x	0.060.0x	0.100.0x

Not reported in any period shown, so not listed: Gross Margin, Current Ratio, FCF Margin.

Where Procaccianti Hotel Reit Inc Ranks

Frequently Asked Questions

What is Procaccianti Hotel Reit Inc's annual revenue?

Procaccianti Hotel Reit Inc (PRXA) reported $32.8M in total revenue for fiscal year 2025. This represents a 3.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Procaccianti Hotel Reit Inc's revenue growing?

Procaccianti Hotel Reit Inc (PRXA) revenue grew by 3.0% year-over-year, from $31.9M to $32.8M in fiscal year 2025.

Is Procaccianti Hotel Reit Inc profitable?

Yes, Procaccianti Hotel Reit Inc (PRXA) reported a net income of $1.9M in fiscal year 2025, with a net profit margin of 5.7%.

What is Procaccianti Hotel Reit Inc's EBITDA?

Procaccianti Hotel Reit Inc (PRXA) had EBITDA of $10.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

How much debt does Procaccianti Hotel Reit Inc have?

As of fiscal year 2025, Procaccianti Hotel Reit Inc (PRXA) had $10.9M in cash and equivalents against $67.3M in long-term debt.

What is Procaccianti Hotel Reit Inc's operating margin?

Procaccianti Hotel Reit Inc (PRXA) had an operating margin of 19.1% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Procaccianti Hotel Reit Inc's net profit margin?

Procaccianti Hotel Reit Inc (PRXA) had a net profit margin of 5.7% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Procaccianti Hotel Reit Inc's return on equity (ROE)?

Procaccianti Hotel Reit Inc (PRXA) has a return on equity of 6.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Procaccianti Hotel Reit Inc's operating cash flow?

Procaccianti Hotel Reit Inc (PRXA) generated $6.1M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Procaccianti Hotel Reit Inc's total assets?

Procaccianti Hotel Reit Inc (PRXA) had $104.5M in total assets as of fiscal year 2025, including both current and long-term assets.

Does Procaccianti Hotel Reit Inc buy back shares?

Yes, Procaccianti Hotel Reit Inc (PRXA) spent $821K on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

What is Procaccianti Hotel Reit Inc's debt-to-equity ratio?

Procaccianti Hotel Reit Inc (PRXA) had a debt-to-equity ratio of 2.43 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Procaccianti Hotel Reit Inc's return on assets (ROA)?

Procaccianti Hotel Reit Inc (PRXA) had a return on assets of 1.8% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Procaccianti Hotel Reit Inc's Piotroski F-Score?

Procaccianti Hotel Reit Inc (PRXA) has a Piotroski F-Score of 4 out of 6 computable signals; 3 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Procaccianti Hotel Reit Inc's earnings high quality?

Procaccianti Hotel Reit Inc (PRXA) has an earnings quality ratio of 3.29x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Procaccianti Hotel Reit Inc cover its interest payments?

Procaccianti Hotel Reit Inc (PRXA) has an interest coverage ratio of 1.56x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.