Certara Inc (CERT)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 179,183 | 234,951 | 236,586 | 185,797 | 271,382 |
| Short-term investments | US$ in thousands | — | 4,473 | 4,638 | 57 | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 146,088 | 130,023 | 103,158 | 92,225 | 75,345 |
| Quick ratio | 1.23 | 1.84 | 2.34 | 2.02 | 3.60 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($179,183K
+ $—K
+ $—K)
÷ $146,088K
= 1.23
The quick ratio of Certara Inc has shown a general trend of decline over the past five years, decreasing from 3.60 in December 31, 2020 to 1.23 in December 31, 2024. This suggests a potential weakening liquidity position as the company's ability to meet its short-term obligations with its most liquid assets has decreased over time. However, it's worth noting that the quick ratio remained above 1 in all years, indicating that Certara Inc still has an adequate level of liquid assets to cover its current liabilities. The company may need to monitor its liquidity closely and take necessary steps to improve its quick ratio in the future.
Peer comparison
Dec 31, 2024