Haemonetics Corporation (HAE)
Cash ratio
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 | Sep 30, 2019 | Jun 30, 2019 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cash and cash equivalents | US$ in thousands | 178,800 | 193,978 | 351,005 | 285,719 | 284,466 | 224,002 | 241,200 | 214,948 | 259,496 | 236,877 | 192,420 | 173,462 | 192,305 | 189,002 | 279,169 | 275,725 | 137,311 | 126,417 | 112,030 | 190,234 |
Short-term investments | US$ in thousands | — | 1,146 | 2,576 | 2,442 | 1,110 | 1,687 | 1,114 | — | — | — | — | — | — | — | — | — | — | — | — | — |
Total current liabilities | US$ in thousands | 300,383 | 261,755 | 264,215 | 236,939 | 251,816 | 226,889 | 262,175 | 180,487 | 442,266 | 355,411 | 288,470 | 228,339 | 253,495 | 194,384 | 338,568 | 407,827 | 274,822 | 256,692 | 240,066 | 293,665 |
Cash ratio | 0.60 | 0.75 | 1.34 | 1.22 | 1.13 | 0.99 | 0.92 | 1.19 | 0.59 | 0.67 | 0.67 | 0.76 | 0.76 | 0.97 | 0.82 | 0.68 | 0.50 | 0.49 | 0.47 | 0.65 |
March 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($178,800K
+ $—K)
÷ $300,383K
= 0.60
The cash ratio of Haemonetics Corporation has fluctuated over the past few quarters, reflecting the company's ability to cover its short-term liabilities with its cash and cash equivalents.
The trend shows a generally positive movement from the fourth quarter of 2019 to the third quarter of 2023, with some fluctuations in between. The cash ratio was above 1.0 in some quarters, indicating that the company had more than enough cash to cover its short-term liabilities. This demonstrates a strong liquidity position and ability to meet its immediate financial obligations.
However, there were quarters where the cash ratio dropped below 1.0, suggesting a lower level of liquidity and potential challenges in meeting short-term obligations solely with cash on hand. It's worth noting that having a cash ratio significantly above 1.0 may also indicate that the company is not efficiently utilizing its cash resources.
Overall, a higher cash ratio is generally preferred as it indicates a stronger ability to weather unexpected financial challenges. Haemonetics Corporation should continue to monitor its cash position and liquidity to ensure it can meet its short-term obligations efficiently.
Peer comparison
Mar 31, 2024