Bio-Rad Laboratories Inc (BIO)
Quick ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 488,100 | 411,753 | 407,297 | 433,331 | 403,966 | 457,850 | 390,001 | 464,136 | 434,215 | 517,943 | 596,584 | 802,316 | 470,783 | 859,902 | 732,836 | 673,470 | 662,205 | 840,325 | 607,584 | 603,551 |
| Short-term investments | US$ in thousands | 1,176,400 | 1,212,080 | 1,214,750 | 1,217,950 | 1,208,890 | 1,306,700 | 1,338,240 | 1,392,880 | 1,362,020 | 1,337,740 | 1,376,640 | 1,276,720 | 404,695 | 482,756 | 434,122 | 351,958 | 334,473 | 319,662 | 429,786 | 438,710 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 467,800 | 497,943 | 486,961 | 466,154 | 522,799 | 558,176 | 581,982 | 589,623 | 568,708 | 570,677 | 613,714 | 648,331 | 680,938 | 649,916 | 587,052 | 609,892 | 631,536 | 986,657 | 926,895 | 869,254 |
| Quick ratio | 3.56 | 3.26 | 3.33 | 3.54 | 3.09 | 3.16 | 2.97 | 3.15 | 3.16 | 3.25 | 3.22 | 3.21 | 1.29 | 2.07 | 1.99 | 1.68 | 1.58 | 1.18 | 1.12 | 1.20 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($488,100K
+ $1,176,400K
+ $—K)
÷ $467,800K
= 3.56
The quick ratio, also known as the acid-test ratio, is a measure of a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio of 1 or higher indicates that the company has enough liquid assets to cover its current liabilities.
Looking at the quick ratio trend of Bio-Rad Laboratories Inc from March 31, 2020, to December 31, 2024, we can observe fluctuations in the ratio over time. The quick ratio started at 1.20 in March 2020 and showed some variability until reaching a peak of 3.56 by December 31, 2024. This indicates a significant improvement in the company's ability to meet its short-term obligations with its liquid assets.
Throughout the period, the quick ratio generally increased, with some minor fluctuations, suggesting that Bio-Rad Laboratories Inc has been managing its liquidity effectively and increasing its ability to cover its short-term liabilities. The ratio consistently remained above 1.0, indicating that the company had a healthy liquidity position.
The increasing trend in the quick ratio signifies that Bio-Rad Laboratories Inc has been improving its financial position and is becoming more capable of meeting its short-term obligations without relying heavily on selling inventory. This may imply efficient working capital management and a reduced risk of liquidity issues in the foreseeable future.
Peer comparison
Dec 31, 2024