Chuy's Holdings Inc (CHUY)

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 1.65 1.69 2.08 2.10 1.98 2.15 2.48 2.51 2.70 2.66 2.54 2.31 2.18 2.01 1.85 1.12 0.46 0.55 0.57 0.54
Quick ratio 1.43 1.51 1.88 1.94 1.80 1.99 2.29 2.35 2.56 2.54 2.41 2.20 2.04 1.89 1.68 0.95 0.32 0.32 0.34 0.32
Cash ratio 1.39 1.46 1.83 1.90 1.76 1.95 2.23 2.28 2.52 2.47 2.38 2.17 2.00 1.86 1.63 0.87 0.28 0.28 0.30 0.23

Looking at the liquidity ratios of Chuy`s Holdings Inc over the past eight quarters, we can observe the following trends:

1. Current Ratio:
The current ratio measures the company's ability to cover its short-term obligations with its current assets. Chuy`s Holdings Inc's current ratio has fluctuated within a range of 1.65 to 2.51 over the past two years. During the most recent quarter, the current ratio stood at 1.65, indicating that the company may have slightly lower liquidity to cover its current liabilities. However, historically, the company has maintained a current ratio above 2.00, which suggests a strong ability to meet short-term obligations.

2. Quick Ratio:
The quick ratio provides a more stringent measure of liquidity by excluding inventory from current assets. Chuy`s Holdings Inc's quick ratio has also shown fluctuations, ranging from 1.61 to 2.47 over the last eight quarters. In the most recent quarter, the quick ratio was 1.61, indicating that the company may have a lower ability to cover its short-term obligations without relying on inventory. However, similar to the current ratio, the historical trend shows that the company generally maintains a quick ratio above 2.00, signaling a strong ability to meet immediate liabilities.

3. Cash Ratio:
The cash ratio is the most conservative liquidity measure, representing the company's ability to cover its current liabilities with its cash and cash equivalents only. Chuy`s Holdings Inc's cash ratio has varied between 1.57 and 2.39 over the past two years. In the latest quarter, the cash ratio was 1.57, indicating that the company may have a lower capacity to repay its short-term obligations using only cash on hand. Nonetheless, historically, Chuy`s Holdings Inc has maintained a cash ratio above 2.00, demonstrating a good level of liquidity and ability to meet immediate obligations efficiently.

Overall, while there have been some fluctuations in Chuy`s Holdings Inc's liquidity ratios in recent quarters, the company generally exhibits a strong liquidity position, as indicated by its current, quick, and cash ratios. Maintaining these ratios at favorable levels is crucial for the company to ensure its ability to meet short-term obligations and navigate any unexpected liquidity challenges 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 -3.04 -3.41 -2.55 -5.33 -6.04 -5.26 -2.91 -2.66 -1.87 -1.69 -3.33 -3.87 -0.48 -3.24 -4.88 -4.58 -2.57 -4.46 -5.79 -2.02

The cash conversion cycle of Chuy`s Holdings Inc has been fluctuating over the past eight quarters, with a range from -17.30 days to -9.29 days. The company has generally maintained a negative cash conversion cycle, indicating that it is able to operate efficiently by collecting cash from customers before paying suppliers.

The trend shows an improvement in the cash conversion cycle from Q4 2022 to Q2 2023, suggesting the company is managing its working capital more effectively during this period. However, there was a slight increase in the cash conversion cycle in Q3 2023 and Q4 2023, which may indicate some challenges in managing operating cash flows or extending credit terms to customers.

Overall, Chuy`s Holdings Inc appears to have a strong liquidity position and efficient working capital management, as reflected in its negative cash conversion cycle. Monitoring this metric over time will be crucial to assess the company's ability to continue generating cash efficiently and sustain long-term financial health.