Fulgent Genetics Inc (FLGT)

Current 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
Total current assets US$ in thousands 507,845 549,855 528,289 580,723 627,873 696,614 675,185 765,333 611,960 622,836 566,686 659,140 523,616 195,615 41,183 37,025 37,079 39,205 34,795 36,301
Total current liabilities US$ in thousands 73,018 61,421 64,819 81,939 88,107 102,522 127,527 141,714 105,310 147,158 121,524 196,530 130,115 57,736 6,509 5,810 3,723 4,253 2,909 3,203
Current ratio 6.96 8.95 8.15 7.09 7.13 6.79 5.29 5.40 5.81 4.23 4.66 3.35 4.02 3.39 6.33 6.37 9.96 9.22 11.96 11.33

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $507,845K ÷ $73,018K
= 6.96

The current ratio of Fulgent Genetics Inc has shown a generally increasing trend over the past eight quarters, ranging from a low of 5.29 in Q2 2022 to a high of 8.95 in Q3 2023. This indicates an improvement in the company's short-term liquidity position and ability to meet its current financial obligations.

A current ratio above 1.0 is generally considered healthy, as it suggests that a company has more current assets than current liabilities. Fulgent Genetics Inc has consistently maintained a current ratio well above 1.0, with the most recent ratio of 8.95 in Q3 2023 indicating a strong liquidity position.

The current ratio measures the company's ability to cover its short-term liabilities with its short-term assets. A higher current ratio implies a stronger ability to pay off current obligations, such as debts and accounts payable.

Overall, the increasing trend in Fulgent Genetics Inc's current ratio reflects positively on the company's liquidity management and suggests a stable financial position in the short term. It is important for stakeholders to monitor this ratio to ensure continued liquidity and financial stability.