Catalyst Pharmaceuticals Inc (CPRX)
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 | 2.88 | 3.32 | 4.59 | 3.51 | 5.57 | 6.18 | 10.79 | 9.64 | 7.76 | 9.35 | 10.93 | 11.19 | 7.00 | 7.86 | 6.49 | 6.63 | 4.62 | 5.04 | 5.09 | 6.08 |
| Quick ratio | 2.51 | 2.92 | 4.22 | 3.20 | 5.36 | 5.94 | 10.24 | 9.08 | 7.31 | 8.80 | 10.01 | 10.31 | 6.43 | 7.29 | 6.03 | 6.45 | 4.36 | 4.82 | 4.97 | 5.86 |
| Cash ratio | 1.81 | 2.09 | 3.41 | 2.61 | 5.18 | 5.73 | 9.82 | 8.62 | 7.07 | 8.48 | 9.62 | 9.93 | 6.16 | 6.97 | 5.69 | 6.05 | 3.92 | 4.26 | 4.23 | 5.06 |
Catalyst Pharmaceuticals Inc has demonstrated consistently strong liquidity levels over the analyzed periods, as evidenced by its current, quick, and cash ratios. The company's current ratio has generally been healthy, ranging from 2.88 to 10.93, indicating a solid ability to meet short-term obligations with its current assets. Similarly, the quick ratio, which excludes inventory from current assets, has also been robust, ranging from 2.51 to 10.31. This suggests that Catalyst Pharmaceuticals Inc can meet its short-term liabilities using its most liquid assets.
Moreover, the cash ratio, which provides a more stringent measure of liquidity by focusing solely on cash and cash equivalents, has also been impressive, ranging from 1.81 to 9.93. This indicates the company's ability to cover its short-term obligations without relying on inventory or receivables, highlighting a strong cash position.
Overall, Catalyst Pharmaceuticals Inc's liquidity ratios reflect a healthy financial position, with ample resources to cover its short-term liabilities. These ratios point towards a well-managed liquidity position, providing a solid foundation for the company's financial stability and growth prospects.
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 | 50.59 | 60.41 | 68.44 | 69.17 | 28.88 | 37.02 | 45.49 | 37.89 | 43.20 | 40.26 | 41.33 | 27.37 | 20.71 | 35.15 | -4.66 | 26.88 | 19.35 | 13.00 | 46.90 | 134.82 |
The cash conversion cycle of Catalyst Pharmaceuticals Inc has exhibited significant variability over the past few quarters. The company's cash conversion cycle has ranged from negative figures, indicating that the company's operating cycle is shorter than its payment cycle, to positive figures, where the operating cycle is longer than the payment cycle.
In recent quarters, there has been a general increasing trend in the cash conversion cycle, indicating that Catalyst Pharmaceuticals Inc is taking longer to convert its investments in inventory and accounts receivable into cash. This trend suggests potential inefficiencies in managing working capital and cash flow.
The higher cash conversion cycle durations seen recently may point to issues such as delays in collecting receivables, longer inventory holding periods, or extended payment terms with suppliers. These factors can impact the company's liquidity and overall financial health.
It's essential for Catalyst Pharmaceuticals Inc to closely monitor and manage its cash conversion cycle to ensure efficient use of resources, improved working capital management, and sustained profitability in the long run. Further analysis and proactive strategies may be needed to address the increasing trend in the cash conversion cycle observed.