Glaukos Corp (GKOS)
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 | 5.34 | 5.95 | 6.28 | 6.67 | 6.13 | 7.40 | 6.78 | 8.84 | 7.67 | 7.91 | 1.40 | 1.41 | 9.45 | 9.73 | 8.27 | 4.53 | 4.56 | 6.32 | 6.49 | 6.72 |
| Quick ratio | 4.53 | 5.07 | 5.37 | 5.70 | 5.37 | 6.54 | 6.15 | 8.10 | 7.21 | 7.32 | 1.31 | 1.32 | 9.05 | 9.02 | 7.69 | 3.77 | 3.84 | 5.35 | 5.56 | 6.07 |
| Cash ratio | 3.99 | 4.48 | 4.76 | 5.09 | 4.87 | 5.97 | 5.63 | 7.47 | 6.68 | 6.76 | 1.20 | 1.21 | 8.33 | 8.32 | 7.20 | 3.21 | 3.18 | 4.62 | 4.85 | 5.31 |
The liquidity ratios of Glaukos Corporation show a consistent and healthy trend over the quarters analyzed. The current ratio, which measures the company's ability to cover short-term liabilities with its current assets, has remained above 5 in each quarter, indicating a strong liquidity position. The current ratio improved steadily from Q4 2022 to Q1 2023, demonstrating increasing liquidity levels.
Similarly, the quick ratio, which provides a more stringent measure of liquidity by excluding inventory from current assets, has also remained robust, staying above 4 in all quarters. The quick ratio also exhibited an upward trend, reflecting an increasing ability to meet short-term obligations without relying on inventory.
The cash ratio, which indicates the proportion of immediate cash available to cover current liabilities, has consistently maintained above 4 in each quarter. This suggests that Glaukos Corporation has a solid cash position to meet its short-term obligations without relying on other current assets.
Overall, the liquidity ratios of Glaukos Corporation indicate a strong financial position with ample resources to meet its short-term financial commitments. The consistent improvement in these ratios over the quarters reflects efficient management of working capital and a prudent approach to liquidity management.
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 | 81.10 | 85.47 | 89.62 | 86.74 | 80.18 | 77.66 | 55.91 | 67.69 | 64.37 | 60.28 | 63.96 | 66.54 | 74.84 | 73.01 | 62.66 | 65.51 | 121.33 | 58.37 | 58.00 | 57.25 |
The cash conversion cycle of Glaukos Corporation has shown fluctuation over the past eight quarters. The cycle represents the time it takes for the company to convert its investments in inventory and other resources into cash flows from sales.
In Q4 2023, the company's cash conversion cycle stood at 184.08 days, showing an improvement compared to the previous quarter (Q3 2023) where it was 192.32 days. This indicates that Glaukos Corporation was able to manage its cash flow more efficiently, potentially by reducing the time it takes to convert inventory into sales and ultimately into cash.
Looking at the trend over the quarters, the cash conversion cycle reached its historical high in Q2 2023 at 204.28 days, indicating a delay in the company's cash flow conversion process. On the other hand, it recorded a significant improvement in Q2 2022 with a cycle of 81.22 days, perhaps due to streamlined operations or effective inventory management.
Overall, Glaukos Corporation's cash conversion cycle has shown variability, with some quarters exhibiting longer cycles that may indicate inefficiencies in managing working capital, while other quarters have shown improvements, likely driven by effective cash flow management strategies. Monitoring and analyzing this metric can provide insights into the company's operational efficiency and effectiveness in managing its cash flow.