Harmonic Inc (HLIT)
Cash 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 84,269 | 75,622 | 71,031 | 90,877 | 89,586 | 105,280 | 121,819 | 100,739 | 133,431 | 128,434 | 115,177 | 100,777 | 98,645 | 70,817 | 77,744 | 71,712 | 93,058 | 66,695 | 58,064 | 69,916 |
| Short-term investments | US$ in thousands | — | 6,305 | — | — | 0 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 272,394 | 275,219 | 287,689 | 305,898 | 322,072 | 221,942 | 221,984 | 230,856 | 224,461 | 203,739 | 186,371 | 192,565 | 147,295 | 145,770 | 145,401 | 196,728 | 191,899 | 146,450 | 138,311 | 134,104 |
| Cash ratio | 0.31 | 0.30 | 0.25 | 0.30 | 0.28 | 0.47 | 0.55 | 0.44 | 0.59 | 0.63 | 0.62 | 0.52 | 0.67 | 0.49 | 0.53 | 0.36 | 0.48 | 0.46 | 0.42 | 0.52 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($84,269K
+ $—K)
÷ $272,394K
= 0.31
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger liquidity position.
Analyzing Harmonic, Inc.'s cash ratio over the past eight quarters reveals fluctuations in its liquidity position. In Q4 2022, the cash ratio was relatively high at 0.67, indicating a robust ability to cover short-term obligations with available cash. However, this ratio declined in subsequent quarters, reaching a low of 0.34 in Q2 2023, suggesting a potential strain on liquidity.
Despite the fluctuations, the cash ratio remained above 0.3 in all quarters, indicating that Harmonic, Inc. generally maintains a sufficient level of cash and cash equivalents to meet its short-term obligations. However, management should monitor these fluctuations closely to ensure adequate liquidity for operational needs and unforeseen circumstances.
Peer comparison
Dec 31, 2023