ADEIA CORP (ADEA)

Quick ratio

		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
Cash	US$ in thousands	54,560	51,855	60,470	82,429	114,555	271,092	275,319	214,095	80,428	165,438	128,960	134,759	170,188	115,725	174,013
Short-term investments	US$ in thousands	34,790	34,303	28,174	3,923	4,107	6,856	14,444	58,658	72,906	76,442	77,336	107,194	90,796	92,029	117,115
Receivables	US$ in thousands	114,570	127,534	105,115	114,881	132,234	236,223	250,683	221,981	221,360	238,659	279,459	271,088	248,406	276,053	308,847
Total current liabilities	US$ in thousands	102,038	81,912	86,111	98,558	166,712	225,395	210,899	196,440	189,747	208,623	179,890	187,892	224,671	207,947	214,455
Quick ratio		2.00	2.61	2.25	2.04	1.50	2.28	2.56	2.52	1.97	2.30	2.70	2.73	2.27	2.33	2.80

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($54,560K + $34,790K + $114,570K) ÷ $102,038K
= 2.00

The quick ratio of ADEIA CORP has shown both fluctuations and consistency over the past few quarters. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets. A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities.

Looking at the trend, the quick ratio has generally been strong, above 2.00 for most quarters, indicating a healthy liquidity position. In particular, there was a notable peak in the quick ratio in the second and third quarters of 2021, reaching values of 2.70 and 2.73, respectively.

However, there were some declines in the quick ratio in the fourth quarter of 2022 and the first quarter of 2023, where the quick ratio fell to 1.50 and 1.97, respectively. This may suggest a temporary decrease in liquidity during those periods.

Overall, despite fluctuations, the quick ratio of ADEIA CORP has remained generally above 2.00, indicating a strong ability to meet short-term obligations with its liquid assets. Further analysis of the company's liquidity position and cash flow trends would provide more insights into its financial health.