Cytek Biosciences Inc (CTKB)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Cash | US$ in thousands | 167,299 | 296,601 | 364,618 |
| Short-term investments | US$ in thousands | 95,111 | 44,548 | — |
| Receivables | US$ in thousands | 55,928 | 48,864 | 29,760 |
| Total current liabilities | US$ in thousands | 56,226 | 49,040 | 33,181 |
| Quick ratio | 5.66 | 7.95 | 11.89 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($167,299K
+ $95,111K
+ $55,928K)
÷ $56,226K
= 5.66
The quick ratio of Cytek Biosciences Inc has shown a declining trend over the past three years. The quick ratio was 11.89 at the end of 2021, which decreased to 7.95 by the end of 2022, and further dropped to 5.66 by the end of 2023.
A quick ratio above 1 indicates that a company has sufficient current assets to cover its current liabilities. In this case, Cytek Biosciences Inc has consistently maintained a quick ratio well above 1 in all three years, signaling a strong ability to meet its short-term obligations using its most liquid assets.
However, the decreasing trend in the quick ratio over the three-year period may indicate potential liquidity challenges or changes in the composition of assets and liabilities. A declining quick ratio could suggest a decrease in the proportion of highly liquid assets compared to current liabilities, which may raise concerns about the company's ability to quickly cover its short-term obligations in the future.
Further analysis of the components of current assets and liabilities contributing to the quick ratio would provide a more in-depth understanding of the company's liquidity position and its ability to manage short-term financial obligations effectively.
Peer comparison
Dec 31, 2023