Exelixis Inc (EXEL)
Liquidity ratios
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 3.63 | 3.93 | 4.27 | 3.46 | 3.34 | 3.83 | 4.68 | 5.00 | 4.99 | 6.10 | 6.08 | 6.37 | 5.43 | 6.17 | 6.24 | 6.72 | 7.06 | 6.99 | 9.77 | 8.09 |
| Quick ratio | 3.41 | 3.70 | 4.05 | 3.23 | 3.13 | 3.59 | 4.42 | 4.72 | 4.70 | 5.84 | 5.81 | 6.09 | 5.18 | 5.87 | 5.95 | 6.39 | 6.68 | 6.72 | 9.35 | 7.77 |
| Cash ratio | 2.75 | 3.02 | 2.90 | 2.58 | 2.52 | 2.93 | 3.73 | 4.01 | 4.03 | 5.13 | 5.04 | 5.43 | 4.35 | 5.20 | 5.27 | 5.56 | 5.90 | 5.90 | 8.50 | 6.79 |
Exelixis Inc's liquidity ratios provide insights into the company's ability to meet its short-term financial obligations. The current ratio, which measures the company's ability to cover its current liabilities with its current assets, has been generally trending downwards from 2020 to 2024, indicating a slight decline in liquidity. However, the current ratio remains above 1 for all periods, suggesting that Exelixis Inc has more than enough current assets to cover its current liabilities.
The quick ratio, also known as the acid-test ratio, excludes inventory from current assets to provide a more stringent measure of liquidity. Similar to the current ratio, the quick ratio has shown a decreasing trend over the years. Despite the decline, the quick ratio also remains above 1 for all periods, indicating that Exelixis Inc can still meet its short-term obligations without relying on inventory sales.
Lastly, the cash ratio, which measures the company's ability to cover its current liabilities with cash and cash equivalents, has also experienced a downward trend from 2020 to 2024. Although the cash ratio has declined, it is still above 1 for all periods, demonstrating that Exelixis Inc holds sufficient cash reserves to meet its immediate financial obligations.
Overall, based on the liquidity ratios, Exelixis Inc appears to maintain a strong liquidity position, with the ability to comfortably meet its short-term financial commitments despite the slight downward trend observed in the ratios over the years.
Additional liquidity measure
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 36.02 | 25.86 | 67.19 | 44.71 | 37.59 | 50.14 | 51.26 | 49.51 | 49.11 | 45.06 | 65.22 | 54.72 | 74.49 | 55.55 | 58.43 | 73.75 | 56.17 | 24.93 | 53.77 | 51.33 |
Exelixis Inc's cash conversion cycle, a measure of how long it takes for a company to convert its investments in inventory and other resources into cash flows from sales, has exhibited fluctuations over the analyzed period. The company's cash conversion cycle has ranged from a low of 24.93 days in September 2020 to a high of 74.49 days in December 2021.
The cash conversion cycle decreased significantly in September 2020, indicating an improvement in the efficiency of Exelixis Inc's operations in managing its working capital. However, it increased notably in December 2021, suggesting potential challenges in managing inventory, accounts receivable, and accounts payable.
Subsequently, the cash conversion cycle fluctuated within a moderate range during the following years, demonstrating periods of efficient working capital management and slight inefficiencies in certain quarters. Overall, by analyzing the trend of the cash conversion cycle, stakeholders can gain insights into Exelixis Inc's liquidity management and operational efficiency.