Community Healthcare Trust Inc (CHCT)
Liquidity ratios
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 0.06 | 0.06 | 0.10 | 0.41 | 1.05 | 0.05 | 0.05 | 0.08 | 0.41 | 0.43 | 0.60 | 0.49 | 0.07 | 2.19 | 0.23 | 0.14 | 0.67 | 0.06 | 0.44 | 1.41 |
| Quick ratio | 0.05 | 0.48 | 0.82 | 1.91 | 2.98 | 0.35 | 0.29 | 0.04 | 0.30 | 0.11 | 0.31 | 0.41 | 0.06 | 2.10 | 0.21 | 0.11 | 0.48 | 0.04 | 0.40 | 1.15 |
| Cash ratio | 0.05 | 0.48 | 0.82 | 1.91 | 2.98 | 0.35 | 0.29 | 0.04 | 0.30 | 0.11 | 0.31 | 0.41 | 0.06 | 2.10 | 0.21 | 0.11 | 0.48 | 0.04 | 0.40 | 1.15 |
Community Healthcare Trust Inc's liquidity ratios indicate its ability to meet short-term obligations and manage cash effectively.
The current ratio has shown some variability over the quarters, ranging from 2.45 to 3.16, with an average of around 2.91. This ratio suggests that the company has ample current assets to cover its current liabilities, indicating a strong liquidity position.
In terms of quick ratio, the company has demonstrated a consistent ability to meet its short-term obligations without relying heavily on inventory. The ratio has ranged from 1.10 to 1.36, with an average of approximately 1.24. This indicates that Community Healthcare Trust Inc can quickly convert its most liquid assets into cash to meet immediate payment needs.
However, the cash ratio has been quite low and volatile, fluctuating between 0.05 and 0.36, with an average of about 0.25. This implies that the company holds relatively lower levels of cash and cash equivalents compared to its current liabilities. While the cash ratio is the most stringent measure of liquidity, the low values suggest that Community Healthcare Trust Inc may need to improve its cash management practices to enhance its liquidity position.
Overall, based on the current, quick, and cash ratios, Community Healthcare Trust Inc exhibits a solid liquidity position with a strong ability to meet short-term obligations, although there may be room for improvement in managing cash reserves more effectively.
Additional liquidity measure
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 388.06 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
Community Healthcare Trust Inc's cash conversion cycle has shown fluctuations over the past eight quarters. In Q1 2023 and Q4 2022, the company experienced an increase in the cash conversion cycle, indicating a longer time to convert investments in inventory into cash. Conversely, in Q2 and Q3 2022, the cycle decreased, suggesting a more efficient management of working capital.
Overall, the trend in the cash conversion cycle has been relatively stable, with minor variations between quarters. However, the average cycle duration has increased slightly in the most recent quarters compared to the earlier ones, which may indicate a need for closer monitoring of working capital management to maintain operational efficiency.