Blackbaud Inc (BLKB)

Liquidity ratios

	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
Current ratio	0.78	0.68	0.80	0.67	0.78	0.62	0.77	0.67	0.75	0.63	0.73	0.67	0.77	0.69	0.79	0.72	0.81	0.67	0.78	0.69
Quick ratio	0.06	0.04	0.03	0.03	0.61	0.04	0.02	0.03	0.03	0.04	0.03	0.05	0.05	0.05	0.04	0.04	0.04	0.06	0.04	0.04
Cash ratio	0.06	0.04	0.03	0.03	0.61	0.04	0.02	0.03	0.03	0.04	0.03	0.05	0.05	0.05	0.04	0.04	0.04	0.06	0.04	0.04

Based on the provided data, Blackbaud Inc's liquidity ratios show fluctuations over the years.

1. Current Ratio: The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, has ranged between 0.63 to 0.81 from March 2020 to December 2024. A current ratio below 1 indicates that the company may have difficulty meeting its short-term obligations.

2. Quick Ratio: The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. Blackbaud Inc's quick ratio has varied between 0.02 and 0.61 during the same period. A quick ratio below 1 suggests a potential issue in meeting short-term obligations without relying on inventory.

3. Cash Ratio: The cash ratio evaluates the company's ability to cover its short-term liabilities solely with its cash and cash equivalents. Blackbaud Inc's cash ratio has shown a similar trend as the quick ratio, fluctuating between 0.02 and 0.61. A cash ratio significantly below 1 may indicate a limited ability to meet immediate obligations without liquidating other assets.

Overall, Blackbaud Inc's liquidity ratios highlight some challenges in effectively managing short-term obligations over the analyzed period. It's essential for the company to closely monitor its liquidity position and take appropriate measures to ensure it can meet its financial commitments as they come due.

Additional liquidity measure

		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 conversion cycle	days	0.00	0.00	0.00	0.00	0.00	261.54	554.62	263.07	507.17	254.13	341.30	220.33	491.35	275.19	369.12	218.32	519.47	174.90	359.69	199.93

The cash conversion cycle of Blackbaud Inc fluctuated over the years, indicating varying efficiency in managing cash flows from its operating cycle.

From March 31, 2020, to December 31, 2021, the cash conversion cycle demonstrated an erratic pattern, with periods of improvement followed by deterioration. Notably, there was a significant increase in the cycle from June 30, 2020, to December 31, 2020, suggesting potential challenges in managing working capital efficiently during that timeframe. This was followed by a partial recovery by March 31, 2021, before another spike by December 31, 2021.

However, from March 31, 2022, to September 30, 2023, there was a more stable trend in the cash conversion cycle, showing relatively consistent performance in managing cash flows. There was a gradual decrease in the cycle, indicating the company may have made improvements in managing its working capital during this period.

It is worth noting that from December 31, 2023, to December 31, 2024, the cash conversion cycle dropped to zero days, which may indicate an anomaly in the data or a significant improvement in working capital management efficiency, leading to a faster conversion of inventory to cash.

Overall, an analysis of the cash conversion cycle suggests that Blackbaud Inc experienced fluctuations in cash flow efficiency over the years, with periods of both challenges and improvements in managing working capital.