Edgewell Personal Care Co (EPC)

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 2.15 1.84 1.71 1.77 2.01 1.75 1.62 1.78 2.00 2.12 2.01 2.04 2.18 1.93 2.38 2.03 2.05 1.58 1.53 2.01
Quick ratio 0.84 0.74 0.69 0.67 0.69 0.68 0.67 0.76 0.91 1.26 1.15 1.07 1.15 1.12 1.51 1.14 1.02 0.91 0.83 1.06
Cash ratio 0.46 0.41 0.36 0.27 0.37 0.35 0.32 0.35 0.50 0.89 0.80 0.58 0.65 0.71 1.06 0.64 0.54 0.52 0.41 0.48

The liquidity ratios of Edgewell Personal Care Co have shown some fluctuations over the past eight quarters.

The current ratio has generally been above 1, indicating that the company has had more current assets than current liabilities to cover its short-term obligations. The ratio has ranged from 1.62 to 2.15, with the highest value in Q1 2024, suggesting a stronger position in covering short-term liabilities.

The quick ratio, which provides a more stringent measure of liquidity by excluding inventories from current assets, has generally been lower than the current ratio. The ratio has ranged from 0.82 to 1.03, with the lowest value in Q2 2023. This indicates that the company may have had some difficulty meeting its short-term obligations without relying on inventory liquidation.

The cash ratio, which is the most conservative measure of liquidity, has ranged from 0.51 to 0.74. This ratio considers only cash and cash equivalents in relation to current liabilities, providing insight into the company's ability to meet obligations with its most liquid assets. The highest cash ratio was observed in Q1 2024, indicating a stronger cash position compared to the previous quarters.

Overall, while the current ratio suggests that Edgewell Personal Care Co has maintained a healthy level of liquidity over the quarters, the quick and cash ratios show that the company may have faced some challenges in meeting its short-term obligations without relying on inventory liquidation or other less liquid assets. Monitoring these ratios over time can provide valuable insights into the company's liquidity management and financial health.

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 118.04 110.34 102.90 117.24 110.36 92.16 83.90 101.40 95.14 78.58 81.73 99.57 92.37 83.62 87.07 89.67 90.92 85.70 95.29 100.67

The cash conversion cycle of Edgewell Personal Care Co has shown some fluctuations over the past eight quarters. The company's cash conversion cycle measures the time it takes for the company to convert its investments in inventory and other resources into cash flows from sales.

In Q1 2024, the cash conversion cycle increased to 111.68 days, indicating that it took the company longer to convert its investments into cash compared to the previous quarter. This increase suggests that the company may be facing challenges in efficiently managing its inventory, receivables, and payables.

In Q4 2023, the cash conversion cycle decreased to 103.26 days, showing an improvement in the efficiency of the company's working capital management compared to the previous quarter.

Overall, the cash conversion cycle of Edgewell Personal Care Co has shown some volatility, with fluctuations in various quarters. It is important for the company to closely monitor and manage its cash conversion cycle to ensure optimal utilization of resources and maximize cash flows.