Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Thermo Fisher Scientific Inc., liquidity ratios (quarterly data)
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-27), 10-Q (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02).
The liquidity position, as indicated by the current, quick, and cash ratios, exhibits fluctuations over the observed period. Generally, the ratios demonstrate a degree of cyclicality, with periods of improvement followed by periods of relative decline. An overall trend towards strengthening liquidity is apparent in the latter half of the period, though with some quarterly variations.
- Current Ratio
- The current ratio initially increased from 1.56 to 1.74 between April 2022 and October 2022, suggesting improving short-term solvency. A subsequent decrease to 1.48 by December 2022 was observed, followed by a decline to a low of 1.27 in April 2023. The ratio then recovered, peaking at 1.93 in June 2025, with some volatility in the intervening quarters. The most recent value, 1.89, indicates a healthy current ratio, suggesting the company possesses sufficient current assets to cover its current liabilities.
- Quick Ratio
- The quick ratio followed a similar pattern to the current ratio, increasing from 0.97 to 1.06 between April 2022 and October 2022. A slight decline occurred in the following quarters, reaching a low of 0.80 in April 2023. The quick ratio then demonstrated a more consistent upward trend, reaching 1.29 in June 2025, before decreasing to 1.36 in December 2025. This indicates an improving ability to meet short-term obligations with its most liquid assets.
- Cash Ratio
- The cash ratio exhibited more pronounced volatility. It began at 0.23 in April 2022, decreased to 0.17 in July 2022, and then increased to 0.50 by December 2022. A subsequent decline to 0.22 in April 2023 was noted. The ratio then increased again, peaking at 0.67 in December 2025. This suggests fluctuations in the company’s ability to cover immediate liabilities with only cash and cash equivalents. The recent increase indicates a stronger immediate liquidity position.
Overall, the observed trends suggest a generally stable liquidity position with increasing strength towards the end of the period. While fluctuations exist, the ratios generally remain within acceptable ranges, indicating the company’s capacity to meet its short-term obligations. The increasing trend in the quick and cash ratios in the latter part of the period is a positive indicator.
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Current Ratio
Thermo Fisher Scientific Inc., current ratio calculation (quarterly data)
| Dec 31, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 31, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Current assets | 28,707) | 22,295) | 24,584) | 23,378) | 22,137) | 23,783) | 25,476) | 23,640) | 24,589) | 23,092) | 19,995) | 20,209) | 25,229) | 19,299) | 18,100) | 18,776) | |||||
| Current liabilities | 15,189) | 14,888) | 12,718) | 13,174) | 13,332) | 14,601) | 14,772) | 13,937) | 14,012) | 14,158) | 14,112) | 15,884) | 17,010) | 11,118) | 10,997) | 12,070) | |||||
| Liquidity Ratio | |||||||||||||||||||||
| Current ratio1 | 1.89 | 1.50 | 1.93 | 1.77 | 1.66 | 1.63 | 1.72 | 1.70 | 1.75 | 1.63 | 1.42 | 1.27 | 1.48 | 1.74 | 1.65 | 1.56 | |||||
| Benchmarks | |||||||||||||||||||||
| Current Ratio, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | 0.67 | 0.72 | 0.74 | 0.76 | 0.66 | 0.65 | 0.81 | 0.94 | 0.87 | 0.96 | 0.89 | 0.96 | 0.96 | 0.93 | 0.84 | 0.82 | |||||
| Amgen Inc. | 1.14 | 1.28 | 1.31 | 1.17 | 1.26 | 1.32 | 1.26 | 1.42 | 1.65 | 2.86 | 2.77 | 3.14 | 1.41 | 1.68 | 1.53 | 1.44 | |||||
| Bristol-Myers Squibb Co. | 1.26 | 1.27 | 1.21 | 1.28 | 1.25 | 1.24 | 1.16 | 1.11 | 1.43 | 1.18 | 1.39 | 1.42 | 1.25 | 1.42 | 1.44 | 1.32 | |||||
| Danaher Corp. | 1.87 | 1.52 | 1.62 | 1.43 | 1.40 | 1.37 | 1.43 | 1.85 | 1.68 | 2.26 | 2.08 | 1.89 | 1.89 | 1.78 | 1.75 | 1.68 | |||||
| Eli Lilly & Co. | 1.58 | 1.55 | 1.28 | 1.37 | 1.15 | 1.27 | 1.11 | 1.35 | 0.94 | 1.05 | 1.13 | 1.30 | 1.05 | 1.13 | 1.10 | 1.27 | |||||
| Gilead Sciences Inc. | 1.55 | 1.45 | 1.32 | 1.37 | 1.60 | 1.26 | 1.14 | 1.08 | 1.43 | 1.34 | 1.02 | 1.28 | 1.29 | 1.30 | 1.43 | 1.48 | |||||
| Johnson & Johnson | 1.03 | 1.07 | 1.01 | 1.26 | 1.11 | 1.03 | 1.07 | 1.17 | 1.16 | 1.21 | 1.12 | 1.07 | 0.99 | 1.43 | 1.42 | 1.39 | |||||
| Merck & Co. Inc. | 1.54 | 1.66 | 1.42 | 1.41 | 1.36 | 1.36 | 1.47 | 1.25 | 1.25 | 1.38 | 1.28 | 1.44 | 1.47 | 1.46 | 1.39 | 1.40 | |||||
| Pfizer Inc. | 1.16 | 1.28 | 1.16 | 1.26 | 1.17 | 1.00 | 0.86 | 1.05 | 0.91 | 2.38 | 2.12 | 1.37 | 1.22 | 1.59 | 1.42 | 1.39 | |||||
| Regeneron Pharmaceuticals Inc. | 4.13 | 4.06 | 4.60 | 4.93 | 4.73 | 5.28 | 5.44 | 5.27 | 5.69 | 5.18 | 5.45 | 5.45 | 5.06 | 5.36 | 5.12 | 4.76 | |||||
| Vertex Pharmaceuticals Inc. | 2.90 | 2.36 | 2.52 | 2.65 | 2.69 | 2.47 | 2.52 | 3.50 | 3.99 | 4.08 | 4.14 | 4.28 | 4.83 | 4.70 | 4.50 | 4.75 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-27), 10-Q (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02).
1 Q4 2025 Calculation
Current ratio = Current assets ÷ Current liabilities
= 28,707 ÷ 15,189 = 1.89
2 Click competitor name to see calculations.
The current ratio exhibited fluctuations over the analyzed period, generally indicating a healthy, though varying, ability to cover short-term liabilities with short-term assets. An initial increase is followed by periods of decline and subsequent recovery.
- Initial Trend (Apr 2, 2022 – Oct 1, 2022)
- The current ratio demonstrated an upward trend from 1.56 in April 2022 to a peak of 1.74 in October 2022. This suggests a strengthening liquidity position during this timeframe, potentially due to increases in current assets relative to current liabilities.
- Subsequent Decline (Oct 1, 2022 – Apr 1, 2023)
- Following the peak, the current ratio experienced a decline, reaching 1.27 by April 2023. This decrease indicates a weakening in the company’s short-term liquidity, possibly driven by a faster growth in current liabilities compared to current assets.
- Recovery and Stabilization (Apr 1, 2023 – Sep 30, 2023)
- From April 2023 to September 2023, the current ratio showed a recovery, increasing from 1.27 to 1.63. This suggests a renewed improvement in the company’s ability to meet its short-term obligations. The ratio then remained relatively stable through December 2023.
- Fluctuations and Recent Trend (Dec 31, 2023 – Jun 28, 2025)
- The period from December 2023 through June 2025 shows continued fluctuation. The ratio peaked at 1.93 in June 2025, representing the highest value in the observed period. However, a decrease to 1.50 was observed in September 2025, followed by a recovery to 1.89 by December 2025. This suggests ongoing dynamic changes in the relationship between current assets and current liabilities.
- Overall Assessment
- Throughout the analyzed period, the current ratio generally remained above 1.0, indicating that the company possesses more current assets than current liabilities. While fluctuations occurred, the ratio consistently suggests an adequate short-term liquidity position, though the degree of liquidity varied over time. The recent peak in June 2025 suggests a particularly strong liquidity position at that point.
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Quick Ratio
Thermo Fisher Scientific Inc., quick ratio calculation (quarterly data)
| Dec 31, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 31, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Cash and cash equivalents | 9,852) | 1,982) | 4,576) | 4,134) | 4,009) | 4,645) | 7,073) | 5,499) | 8,077) | 6,151) | 3,133) | 3,482) | 8,524) | 2,919) | 1,888) | 2,752) | |||||
| Short-term investments | 253) | 1,564) | 1,814) | 1,813) | 1,561) | 2,000) | 1,750) | 1,751) | 3) | —) | —) | —) | —) | —) | —) | —) | |||||
| Accounts receivable, less allowances | 8,900) | 8,911) | 8,594) | 8,455) | 8,191) | 8,255) | 7,943) | 7,931) | 8,221) | 8,370) | 8,019) | 7,922) | 8,115) | 7,671) | 7,745) | 7,889) | |||||
| Contract assets, net | 1,666) | 1,620) | 1,441) | 1,366) | 1,435) | 1,541) | 1,487) | 1,422) | 1,443) | 1,465) | 1,467) | 1,375) | 1,312) | 1,248) | 1,147) | 1,064) | |||||
| Total quick assets | 20,671) | 14,077) | 16,425) | 15,768) | 15,196) | 16,441) | 18,253) | 16,603) | 17,744) | 15,986) | 12,619) | 12,779) | 17,951) | 11,838) | 10,780) | 11,705) | |||||
| Current liabilities | 15,189) | 14,888) | 12,718) | 13,174) | 13,332) | 14,601) | 14,772) | 13,937) | 14,012) | 14,158) | 14,112) | 15,884) | 17,010) | 11,118) | 10,997) | 12,070) | |||||
| Liquidity Ratio | |||||||||||||||||||||
| Quick ratio1 | 1.36 | 0.95 | 1.29 | 1.20 | 1.14 | 1.13 | 1.24 | 1.19 | 1.27 | 1.13 | 0.89 | 0.80 | 1.06 | 1.06 | 0.98 | 0.97 | |||||
| Benchmarks | |||||||||||||||||||||
| Quick Ratio, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | 0.41 | 0.47 | 0.48 | 0.48 | 0.43 | 0.44 | 0.59 | 0.72 | 0.63 | 0.71 | 0.63 | 0.66 | 0.69 | 0.69 | 0.61 | 0.56 | |||||
| Amgen Inc. | 0.73 | 0.82 | 0.82 | 0.74 | 0.81 | 0.80 | 0.75 | 0.84 | 0.99 | 2.41 | 2.34 | 2.62 | 0.95 | 1.17 | 0.99 | 0.90 | |||||
| Bristol-Myers Squibb Co. | 0.94 | 0.99 | 0.91 | 0.94 | 0.91 | 0.84 | 0.78 | 0.78 | 1.04 | 0.77 | 0.94 | 1.01 | 0.87 | 0.98 | 1.07 | 1.03 | |||||
| Danaher Corp. | 1.25 | 0.84 | 0.96 | 0.83 | 0.83 | 0.84 | 0.85 | 1.34 | 1.18 | 1.76 | 1.52 | 1.34 | 1.30 | 1.19 | 1.13 | 1.08 | |||||
| Eli Lilly & Co. | 0.78 | 0.73 | 0.53 | 0.57 | 0.58 | 0.62 | 0.60 | 0.67 | 0.52 | 0.58 | 0.63 | 0.79 | 0.62 | 0.70 | 0.66 | 0.77 | |||||
| Gilead Sciences Inc. | 1.06 | 1.01 | 0.89 | 1.00 | 1.20 | 0.82 | 0.69 | 0.72 | 1.06 | 0.98 | 0.78 | 0.95 | 0.99 | 0.96 | 1.06 | 1.06 | |||||
| Johnson & Johnson | 0.69 | 0.71 | 0.68 | 0.96 | 0.78 | 0.70 | 0.77 | 0.84 | 0.82 | 0.86 | 0.84 | 0.81 | 0.71 | 1.10 | 1.09 | 1.06 | |||||
| Merck & Co. Inc. | 0.93 | 1.06 | 0.79 | 0.80 | 0.84 | 0.88 | 0.88 | 0.68 | 0.68 | 0.83 | 0.74 | 0.90 | 0.93 | 0.90 | 0.85 | 0.84 | |||||
| Pfizer Inc. | 0.69 | 0.80 | 0.67 | 0.80 | 0.74 | 0.56 | 0.42 | 0.57 | 0.50 | 1.78 | 1.59 | 0.88 | 0.80 | 1.18 | 1.02 | 0.95 | |||||
| Regeneron Pharmaceuticals Inc. | 3.28 | 3.19 | 3.57 | 3.90 | 3.86 | 4.34 | 4.43 | 4.40 | 4.82 | 4.31 | 4.53 | 4.54 | 4.16 | 4.37 | 4.20 | 3.95 | |||||
| Vertex Pharmaceuticals Inc. | 2.24 | 1.84 | 2.00 | 2.12 | 2.17 | 2.08 | 2.10 | 3.15 | 3.60 | 3.74 | 3.82 | 3.95 | 4.46 | 4.28 | 4.14 | 4.37 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-27), 10-Q (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02).
1 Q4 2025 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 20,671 ÷ 15,189 = 1.36
2 Click competitor name to see calculations.
The quick ratio for the analyzed period demonstrates fluctuations, generally indicating a reasonably stable short-term liquidity position. Initial values suggest a near-parity between quick assets and current liabilities, with subsequent increases and decreases observed over the reporting periods.
- Initial Period (Apr 2, 2022 – Dec 31, 2022)
- The quick ratio begins at 0.97 and experiences a slight increase to 1.06 by October 1, 2022, remaining stable through the end of the year. This suggests a modest improvement in the ability to meet short-term obligations with highly liquid assets during this timeframe. Both total quick assets and current liabilities remained relatively consistent during this period.
- First Decline & Recovery (Apr 1, 2023 – Sep 30, 2023)
- A notable decrease is observed in the quick ratio, falling to 0.80 by April 1, 2023. This indicates a temporary weakening in the company’s immediate liquidity. However, the ratio recovers significantly, reaching 1.13 by September 30, 2023, driven by an increase in total quick assets while current liabilities remained relatively stable.
- Peak & Subsequent Moderation (Dec 31, 2023 – Sep 28, 2024)
- The quick ratio peaks at 1.27 in December 2023, representing the strongest short-term liquidity position within the analyzed period. The ratio then moderates, decreasing to 1.13 by September 28, 2024. This decrease is attributable to a slight reduction in quick assets alongside a relatively stable level of current liabilities.
- Recent Trend (Dec 31, 2024 – Jun 28, 2025)
- A further decline to 0.95 is observed by September 27, 2025, indicating a renewed weakening in short-term liquidity. However, the ratio experiences a substantial increase to 1.36 by December 31, 2025, suggesting a significant improvement in the ability to cover immediate liabilities. This improvement is driven by a considerable increase in total quick assets.
Overall, the quick ratio demonstrates cyclical behavior. While fluctuations occur, the ratio generally remains above 0.80, suggesting a generally acceptable level of short-term liquidity throughout the analyzed period. The most recent period indicates a strong liquidity position, potentially allowing for increased financial flexibility.
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Cash Ratio
Thermo Fisher Scientific Inc., cash ratio calculation (quarterly data)
| Dec 31, 2025 | Sep 27, 2025 | Jun 28, 2025 | Mar 29, 2025 | Dec 31, 2024 | Sep 28, 2024 | Jun 29, 2024 | Mar 30, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jul 1, 2023 | Apr 1, 2023 | Dec 31, 2022 | Oct 1, 2022 | Jul 2, 2022 | Apr 2, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Cash and cash equivalents | 9,852) | 1,982) | 4,576) | 4,134) | 4,009) | 4,645) | 7,073) | 5,499) | 8,077) | 6,151) | 3,133) | 3,482) | 8,524) | 2,919) | 1,888) | 2,752) | |||||
| Short-term investments | 253) | 1,564) | 1,814) | 1,813) | 1,561) | 2,000) | 1,750) | 1,751) | 3) | —) | —) | —) | —) | —) | —) | —) | |||||
| Total cash assets | 10,105) | 3,546) | 6,390) | 5,947) | 5,570) | 6,645) | 8,823) | 7,250) | 8,080) | 6,151) | 3,133) | 3,482) | 8,524) | 2,919) | 1,888) | 2,752) | |||||
| Current liabilities | 15,189) | 14,888) | 12,718) | 13,174) | 13,332) | 14,601) | 14,772) | 13,937) | 14,012) | 14,158) | 14,112) | 15,884) | 17,010) | 11,118) | 10,997) | 12,070) | |||||
| Liquidity Ratio | |||||||||||||||||||||
| Cash ratio1 | 0.67 | 0.24 | 0.50 | 0.45 | 0.42 | 0.46 | 0.60 | 0.52 | 0.58 | 0.43 | 0.22 | 0.22 | 0.50 | 0.26 | 0.17 | 0.23 | |||||
| Benchmarks | |||||||||||||||||||||
| Cash Ratio, Competitors2 | |||||||||||||||||||||
| AbbVie Inc. | 0.12 | 0.14 | 0.16 | 0.14 | 0.14 | 0.17 | 0.31 | 0.44 | 0.34 | 0.38 | 0.27 | 0.24 | 0.31 | 0.36 | 0.29 | 0.23 | |||||
| Amgen Inc. | 0.36 | 0.43 | 0.39 | 0.38 | 0.52 | 0.44 | 0.43 | 0.49 | 0.60 | 2.05 | 2.00 | 2.22 | 0.59 | 0.80 | 0.57 | 0.51 | |||||
| Bristol-Myers Squibb Co. | 0.46 | 0.59 | 0.49 | 0.49 | 0.46 | 0.36 | 0.29 | 0.37 | 0.55 | 0.33 | 0.43 | 0.49 | 0.42 | 0.48 | 0.63 | 0.66 | |||||
| Danaher Corp. | 0.68 | 0.24 | 0.44 | 0.30 | 0.31 | 0.36 | 0.35 | 0.90 | 0.71 | 1.31 | 1.02 | 0.85 | 0.71 | 0.64 | 0.53 | 0.49 | |||||
| Eli Lilly & Co. | 0.21 | 0.24 | 0.09 | 0.10 | 0.12 | 0.14 | 0.12 | 0.13 | 0.10 | 0.11 | 0.14 | 0.22 | 0.12 | 0.17 | 0.17 | 0.18 | |||||
| Gilead Sciences Inc. | 0.65 | 0.60 | 0.47 | 0.64 | 0.83 | 0.43 | 0.26 | 0.36 | 0.64 | 0.57 | 0.48 | 0.56 | 0.57 | 0.54 | 0.61 | 0.62 | |||||
| Johnson & Johnson | 0.37 | 0.36 | 0.35 | 0.68 | 0.49 | 0.39 | 0.47 | 0.54 | 0.50 | 0.53 | 0.53 | 0.54 | 0.42 | 0.75 | 0.73 | 0.70 | |||||
| Merck & Co. Inc. | 0.51 | 0.64 | 0.33 | 0.37 | 0.48 | 0.49 | 0.44 | 0.22 | 0.28 | 0.38 | 0.27 | 0.45 | 0.54 | 0.49 | 0.44 | 0.40 | |||||
| Pfizer Inc. | 0.37 | 0.41 | 0.35 | 0.48 | 0.48 | 0.23 | 0.16 | 0.29 | 0.27 | 1.42 | 1.29 | 0.55 | 0.54 | 0.82 | 0.70 | 0.61 | |||||
| Regeneron Pharmaceuticals Inc. | 1.97 | 1.91 | 2.04 | 2.34 | 2.28 | 2.68 | 2.80 | 2.94 | 3.17 | 2.75 | 2.88 | 2.89 | 2.46 | 2.44 | 2.49 | 2.34 | |||||
| Vertex Pharmaceuticals Inc. | 1.71 | 1.40 | 1.54 | 1.64 | 1.72 | 1.64 | 1.63 | 2.68 | 3.16 | 3.31 | 3.35 | 3.44 | 3.93 | 3.74 | 3.62 | 3.78 | |||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-27), 10-Q (reporting date: 2025-06-28), 10-Q (reporting date: 2025-03-29), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-28), 10-Q (reporting date: 2024-06-29), 10-Q (reporting date: 2024-03-30), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-07-01), 10-Q (reporting date: 2023-04-01), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-10-01), 10-Q (reporting date: 2022-07-02), 10-Q (reporting date: 2022-04-02).
1 Q4 2025 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 10,105 ÷ 15,189 = 0.67
2 Click competitor name to see calculations.
The cash ratio for the analyzed period demonstrates considerable fluctuation, generally trending upwards over the observed timeframe, with notable peaks and valleys. Initial values indicate a moderate ability to cover current liabilities with immediately available cash, which improves significantly towards the end of 2022 before experiencing further variability.
- Overall Trend
- The cash ratio begins at 0.23 in April 2022, decreases to 0.17 by July 2022, and then recovers to 0.26 by October 2022. A substantial increase is then observed, reaching 0.50 in December 2022. Following this peak, the ratio fluctuates between 0.22 and 0.60 over the subsequent quarters, ultimately reaching 0.67 in December 2025. This suggests an overall improvement in the company’s most liquid position relative to its short-term obligations, though with intermittent periods of reduced coverage.
- Short-Term Fluctuations (2022-2023)
- From April 2022 to December 2022, the cash ratio exhibits volatility. The initial decline followed by recovery suggests potential shifts in working capital management or timing differences in cash inflows and outflows. The significant jump in December 2022, coinciding with a substantial increase in total cash assets, indicates a possible strategic accumulation of liquid funds or a significant receipt of cash. The ratio remains relatively stable between 0.22 and 0.58 through 2023.
- Recent Performance (2024-2025)
- The cash ratio demonstrates a generally upward trend from 2024 through 2025. It increases from 0.52 in April 2024 to 0.60 in June 2024, then dips to 0.46 in September 2024 before rising again to 0.67 in December 2025. This suggests a strengthening of the company’s immediate liquidity position in the latter part of the analyzed period. The dip in September 2024 may be attributable to increased current liabilities or decreased cash assets during that quarter.
- Relationship between Components
- The cash ratio’s fluctuations are directly linked to the movements in both total cash assets and current liabilities. While both components experience changes throughout the period, the larger swings in the cash ratio often correspond with more significant changes in total cash assets. For example, the peak in December 2022 is driven by a substantial increase in cash assets. The ratio’s sensitivity to changes in cash assets suggests that the company’s liquidity is heavily reliant on its cash position.
In conclusion, the cash ratio indicates a variable but generally improving liquidity position. The company appears to have increased its ability to meet short-term obligations with readily available cash, particularly towards the end of the analyzed period. However, the observed fluctuations warrant continued monitoring to understand the underlying drivers and ensure consistent liquidity management.
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