Dolby Laboratories (DLB)
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 | 656,816 | 745,364 | 765,079 | 688,443 | 626,158 | 620,127 | 858,905 | 900,393 | 1,056,690 | 1,225,380 | 1,219,650 | 1,104,570 | 1,110,020 | 1,071,880 | 855,103 | 724,931 | 741,429 | 797,210 | 716,560 | 726,596 |
| Short-term investments | US$ in thousands | 140,823 | 139,148 | 124,210 | 126,393 | 132,875 | 189,213 | 156,812 | 141,688 | 80,618 | 38,839 | 48,277 | 58,582 | 52,261 | 46,948 | 189,383 | 174,859 | 170,234 | 119,146 | 120,737 | 158,679 |
| Receivables | US$ in thousands | 426,128 | 412,645 | 408,065 | 401,315 | 401,497 | 350,493 | — | — | 346,549 | 330,109 | 384,980 | 401,705 | 420,748 | 242,440 | 324,386 | 362,043 | 191,001 | 246,315 | 231,185 | 178,617 |
| Total current liabilities | US$ in thousands | 394,096 | 422,226 | 423,036 | 314,011 | 290,447 | 277,518 | 285,485 | 280,959 | 283,290 | 315,717 | 308,965 | 308,977 | 316,419 | 267,109 | 257,702 | 307,254 | 293,459 | 306,853 | 278,339 | 265,450 |
| Quick ratio | 3.11 | 3.07 | 3.07 | 3.87 | 4.00 | 4.18 | 3.56 | 3.71 | 5.24 | 5.05 | 5.35 | 5.06 | 5.00 | 5.10 | 5.31 | 4.11 | 3.76 | 3.79 | 3.84 | 4.01 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($656,816K
+ $140,823K
+ $426,128K)
÷ $394,096K
= 3.11
The quick ratio of Dolby Laboratories has shown a consistent trend of being well above 1.0 over the past few years, indicating a strong ability to cover its short-term liabilities with its most liquid assets. The quick ratio has generally been above 3.0, reaching as high as 5.35 in some quarters. This indicates that Dolby Laboratories has a healthy level of liquid assets, such as cash and marketable securities, relative to its current liabilities.
A quick ratio above 1.0 is typically considered favorable, as it suggests that a company can meet its short-term financial obligations without having to rely heavily on selling inventory. Dolby's quick ratio consistently above 3.0 indicates a high level of liquidity and financial flexibility, providing a cushion against any unexpected downturns or challenges in the business environment.
Overall, the trend of Dolby Laboratories' quick ratio demonstrates a strong financial position in terms of liquidity and ability to meet short-term obligations, which is a positive indicator for investors and creditors.
Peer comparison
Dec 31, 2023