Collegium Pharmaceutical Inc (COLL)

Current ratio

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
Total current assets US$ in thousands 426,863 443,810 510,198 539,260 537,600 537,086 537,297 498,300 419,989 405,216 409,774 363,638 315,543 363,238 318,532 296,311 277,888 262,132 250,813 223,675
Total current liabilities US$ in thousands 10,000 459,426 461,717 446,436 457,915 464,612 435,058 412,702 270,114 414,497 415,094 373,573 230,399 268,973 226,843 230,168 191,226 242,437 252,111 244,374
Current ratio 42.69 0.97 1.11 1.21 1.17 1.16 1.24 1.21 1.55 0.98 0.99 0.97 1.37 1.35 1.40 1.29 1.45 1.08 0.99 0.92

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $426,863K ÷ $10,000K
= 42.69

The current ratio of Collegium Pharmaceutical Inc has fluctuated over the years, showing a mix of strengths and weaknesses in the company's liquidity position. The current ratio measures the company's ability to pay its short-term obligations with its current assets.

From March 31, 2020, to December 31, 2021, the current ratio improved steadily from 0.92 to 1.37, indicating an enhancement in the company's short-term liquidity. This trend suggested that Collegium Pharmaceutical Inc was in a better position to cover its current liabilities with its current assets during this period.

However, from March 31, 2022, to September 30, 2024, the current ratio fluctuated between 0.97 and 42.69. The significant spike to 42.69 by December 31, 2024 is likely the result of an anomaly or data error rather than a true reflection of the company's financial stability. It is essential to investigate the reason behind this unusual figure to assess the true liquidity position accurately.

Overall, while Collegium Pharmaceutical Inc showed improvement in its liquidity position in the earlier years, the recent fluctuations in the current ratio raise questions about the accuracy and reliability of the company's financial data. Monitoring and analyzing these ratios regularly are crucial for investors and stakeholders to assess the company's financial health accurately.