F5 Networks Inc (FFIV)

Liquidity ratios

	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	Dec 31, 2019
Current ratio	1.42	1.36	1.30	1.29	1.26	1.15	1.20	1.12	1.04	0.95	0.98	1.18	1.16	1.08	1.01	1.54	1.39	1.32	1.13	1.51
Quick ratio	0.98	0.95	0.88	0.88	0.85	0.76	0.81	0.75	0.74	0.68	0.73	0.89	0.90	0.85	0.77	1.30	1.17	1.11	0.93	1.32
Cash ratio	0.72	0.64	0.60	0.54	0.55	0.46	0.50	0.43	0.48	0.42	0.50	0.60	0.65	0.57	0.48	1.04	0.94	0.87	0.66	1.01

F5 Networks Inc's liquidity ratios have shown some fluctuations over the past few quarters. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, has generally been above 1, indicating a healthy liquidity position. The current ratio has increased steadily over the past few quarters, which suggests an improving ability to meet short-term obligations.

The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has also demonstrated an increasing trend over the quarters. This indicates that F5 Networks Inc has a stronger ability to meet its short-term obligations without relying on selling inventory.

The cash ratio, which measures the company's ability to cover current liabilities with its available cash and cash equivalents, has fluctuated but generally stayed above 0.5, indicating a reasonable level of liquidity from cash on hand. However, the ratio has shown some volatility over the quarters, with some quarters exhibiting higher cash ratios than others.

Overall, F5 Networks Inc's liquidity ratios point towards a generally stable and improving liquidity position, with an increasing ability to meet short-term obligations using current assets and cash reserves. It's important for the company to continue monitoring and managing its liquidity position to ensure it can fulfill its financial obligations in a timely manner.

Additional liquidity measure

		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	Dec 31, 2019
Cash conversion cycle	days	52.05	63.23	56.57	61.50	53.17	52.88	59.40	62.22	53.92	55.50	47.96	49.45	39.28	49.18	48.79	45.14	37.08	41.47	47.14	51.62

The cash conversion cycle for F5 Networks Inc has shown fluctuations over the past few quarters, ranging from 37.08 days to 63.23 days. The cash conversion cycle measures the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.

Analyzing the trend, there seems to be some variability in how efficiently F5 Networks is managing its working capital. A shorter cash conversion cycle indicates that the company is converting its inventory into sales and ultimately cash more quickly, which is generally favorable.

Throughout the periods, F5 Networks has experienced periods with a relatively low cash conversion cycle, indicating efficient management of inventory and receivables. However, there are quarters where the cash conversion cycle exceeds 60 days, suggesting potential inefficiencies in managing working capital.

Overall, F5 Networks Inc should continue to monitor and manage its cash conversion cycle effectively to ensure optimal working capital management and cash flow generation.