Certara Inc (CERT)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 234,951 | 272,312 | 245,190 | 244,135 | 236,586 | 210,509 | 194,755 | 184,315 | 185,797 |
| Short-term investments | US$ in thousands | — | — | 5,667 | 4,261 | 4,638 | 3,429 | 680 | — | — |
| Receivables | US$ in thousands | 84,857 | 76,553 | 83,952 | 82,404 | 82,584 | 74,806 | 73,873 | 72,719 | 69,555 |
| Total current liabilities | US$ in thousands | 130,023 | 105,427 | 102,896 | 93,816 | 103,158 | 76,530 | 81,545 | 81,617 | 92,225 |
| Quick ratio | 2.46 | 3.31 | 3.25 | 3.53 | 3.14 | 3.77 | 3.30 | 3.15 | 2.77 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($234,951K
+ $—K
+ $84,857K)
÷ $130,023K
= 2.46
The quick ratio of Certara Inc has shown some fluctuations over the past eight quarters. The quick ratio measures the company's ability to meet its short-term obligations with 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 data provided:
- The quick ratio ranged from a low of 2.62 in Q4 2023 to a high of 3.94 in Q3 2022.
- The quick ratio has generally been above 3 in the last four quarters, indicating a strong ability to meet short-term obligations with liquid assets.
- There was a noticeable decrease in the quick ratio in Q4 2023 compared to the previous quarters, which may suggest a slight decrease in liquidity or an increase in current liabilities during that period.
Overall, Certara Inc has maintained a healthy quick ratio above 1 in all quarters, with fluctuations indicating shifts in the company's liquidity position. It is important to continue monitoring the quick ratio to ensure the company can effectively meet its short-term financial obligations.
Peer comparison
Dec 31, 2023