Amphastar P (AMPH)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	144,296	156,098	126,353	92,642	73,685
Short-term investments	US$ in thousands	112,510	19,664	10,320	12,977	11,675
Receivables	US$ in thousands	114,943	88,804	78,804	66,005	45,376
Total current liabilities	US$ in thousands	225,407	94,862	103,810	112,201	90,009
Quick ratio		1.65	2.79	2.08	1.53	1.45

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($144,296K + $112,510K + $114,943K) ÷ $225,407K
= 1.65

The quick ratio of Amphastar Pharmaceuticals Inc has shown fluctuations over the past five years. As of December 31, 2023, the quick ratio stands at 1.69, indicating a slightly lower level of liquidity compared to the previous year. In 2022, the quick ratio was significantly higher at 2.87, reflecting a strong ability to meet short-term obligations with liquid assets.

In 2021, the quick ratio was 2.15, a favorable level of liquidity that suggests the company had more than enough liquid assets to cover its short-term liabilities. The quick ratio dipped to 1.59 in 2020, indicating a slight decrease in liquidity compared to the previous year.

Overall, the trend in the quick ratio of Amphastar Pharmaceuticals Inc shows fluctuations but generally remains above 1, which implies the company has sufficient liquid assets to cover its short-term liabilities. Investors and analysts may want to monitor the quick ratio closely to assess the company's ability to meet its short-term obligations efficiently.