Collegium Pharmaceutical Inc (COLL)
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 | 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 | US$ in thousands | 238,947 | 258,532 | 283,749 | 269,480 | 173,688 | 134,126 | 122,722 | 106,698 | 186,426 | 193,241 | 202,771 | 182,790 | 174,116 | 165,423 | 145,678 | 116,178 | 170,019 | 153,838 | 148,713 | 134,910 |
| Short-term investments | US$ in thousands | 147,931 | 92,066 | 89,419 | — | 0 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 179,525 | 181,851 | 167,479 | 179,127 | 183,119 | 195,402 | 197,505 | 166,345 | 105,844 | 148,999 | 90,098 | 93,156 | 83,320 | 76,466 | 81,195 | 85,427 | 72,953 | 84,380 | 81,279 | 85,139 |
| Total current liabilities | US$ in thousands | 457,915 | 464,612 | 435,058 | 412,702 | 433,726 | 414,497 | 415,094 | 373,573 | 279,566 | 268,973 | 226,843 | 230,168 | 239,451 | 242,437 | 252,111 | 244,374 | 201,765 | 201,483 | 196,272 | 188,885 |
| Quick ratio | 1.24 | 1.15 | 1.24 | 1.09 | 0.82 | 0.80 | 0.77 | 0.73 | 1.05 | 1.27 | 1.29 | 1.20 | 1.08 | 1.00 | 0.90 | 0.82 | 1.20 | 1.18 | 1.17 | 1.16 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($238,947K
+ $147,931K
+ $179,525K)
÷ $457,915K
= 1.24
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. In the case of Collegium Pharmaceutical Inc, the quick ratio has been fluctuating over the past eight quarters, ranging from a low of 0.76 to a high of 1.18.
A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities, which suggests a healthy liquidity position. Collegium Pharmaceutical Inc has generally maintained quick ratios above 1 in recent quarters, with the highest quick ratio of 1.18 in Q2 2023 and the lowest of 0.76 in Q1 2022.
The trend of increasing quick ratios from Q1 2022 to Q2 2023 indicates an improvement in the company's ability to cover its short-term obligations with liquid assets. This suggests that Collegium Pharmaceutical Inc has been managing its liquidity effectively and may be better positioned to handle unexpected financial challenges in the short term.
Overall, Collegium Pharmaceutical Inc's quick ratio analysis indicates a generally sound liquidity position, with fluctuations over time that reflect changes in the company's ability to meet its short-term obligations with liquid assets. It will be important to continue monitoring the quick ratio in future quarters to assess the company's ongoing liquidity management.
Peer comparison
Dec 31, 2023