Hims Hers Health Inc (HIMS)
Quick ratio
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 220,584 | 165,518 | 129,295 | 105,237 | 96,663 | 57,996 | 65,417 | 48,745 | 46,772 | 57,964 | 55,033 | 48,284 | 71,784 | 64,772 | 107,145 | 88,169 | 27,344 | 1,258 | 1,386 | 1,482 |
| Short-term investments | US$ in thousands | 79,667 | 88,553 | 97,997 | 98,355 | 124,318 | 154,501 | 127,725 | 135,648 | 132,900 | 140,427 | 139,944 | 154,769 | 175,500 | 187,653 | 210,178 | 235,097 | 72,864 | 59,146 | — | — |
| Receivables | US$ in thousands | 6,100 | — | — | — | 6,700 | — | — | — | 3,900 | — | — | — | 4,100 | — | — | — | 1,100 | — | — | — |
| Total current liabilities | US$ in thousands | 221,367 | 152,645 | 108,671 | 93,324 | 88,468 | 82,545 | 66,547 | 56,283 | 47,941 | 66,818 | 55,623 | 48,500 | 79,221 | 52,498 | 27,344 | 19,680 | 15,228 | 3,038 | 1,168 | 1,167 |
| Quick ratio | 1.38 | 1.66 | 2.09 | 2.18 | 2.57 | 2.57 | 2.90 | 3.28 | 3.83 | 2.97 | 3.51 | 4.19 | 3.17 | 4.81 | 11.60 | 16.43 | 6.65 | 19.88 | 1.19 | 1.27 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($220,584K
+ $79,667K
+ $6,100K)
÷ $221,367K
= 1.38
The quick ratio of Hims Hers Health Inc, a measure of the company's ability to cover its short-term liabilities with its most liquid assets, has exhibited some fluctuations over the periods mentioned. Initially, the quick ratio was above 1, indicating that the company had more than enough liquid assets to cover its current liabilities. However, in September 2020, there was a significant spike in the quick ratio to 19.88, suggesting a substantial increase in liquid assets relative to current liabilities.
Subsequently, the quick ratio decreased but remained above 1 until March 2022, signaling a healthy liquidity position. From September 2021 to September 2024, the quick ratio gradually decreased, indicating a decline in the company's ability to cover its short-term obligations with liquid assets. The ratio consistently stayed above 1, implying that the company could still meet its immediate financial obligations with some buffer, although the margin of safety reduced over time.
Overall, the trend in the quick ratio of Hims Hers Health Inc shows fluctuation with a general decline over the years, indicating a possible change in the company's liquidity position and its ability to easily cover short-term obligations with liquid assets.
Peer comparison
Dec 31, 2024