Haemonetics Corporation (HAE)

Quick ratio

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cash	US$ in thousands	178,800	284,466	259,496	192,305	137,311
Short-term investments	US$ in thousands	—	1,110	—	—	—
Receivables	US$ in thousands	206,562	179,142	159,376	127,555	165,207
Total current liabilities	US$ in thousands	300,383	251,816	442,266	253,495	274,822
Quick ratio		1.28	1.85	0.95	1.26	1.10

March 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($178,800K + $—K + $206,562K) ÷ $300,383K
= 1.28

The quick ratio of Haemonetics Corporation has shown fluctuations over the last five years. The ratio was 1.28 as of March 31, 2024, indicating that the company had $1.28 of liquid assets available to cover each dollar of current liabilities. This suggests that the company has a relatively healthy level of liquidity in the short term.

Comparing this to previous years, we see a significant decrease from 1.85 in 2023 to 0.95 in 2022, which may indicate a potential liquidity issue or the company's ability to quickly pay off its short-term obligations. However, the ratio improved in 2024 compared to 2022.

Furthermore, the quick ratio was relatively stable in 2021 and 2020, showing values of 1.26 and 1.10, respectively. This stability indicates that the company has maintained a consistent ability to meet its short-term obligations using its liquid assets.

Overall, while the quick ratio of Haemonetics Corporation has fluctuated over the past five years, the current ratio of 1.28 as of March 31, 2024, suggests the company's improved liquidity position compared to previous years. It is essential for the company to monitor and manage its liquidity effectively to ensure it can meet its short-term obligations promptly.