Integra LifeSciences Holdings (IART)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	276,402	456,661	513,448	470,166	198,911
Short-term investments	US$ in thousands	32,694	0	—	—	12
Receivables	US$ in thousands	259,327	263,465	231,831	225,532	275,296
Total current liabilities	US$ in thousands	306,980	320,906	340,021	401,013	331,309
Quick ratio		1.85	2.24	2.19	1.73	1.43

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($276,402K + $32,694K + $259,327K) ÷ $306,980K
= 1.85

The quick ratio of Integra Lifesciences Holdings Corp has been fluctuating over the past five years. The trend shows an overall improvement in liquidity from 2019 to 2022, with the ratio increasing from 1.64 to 2.61. However, there was a slight decline in the quick ratio in 2023 to 2.18.

A quick ratio above 1 indicates that the company has more than enough liquid assets to cover its current liabilities, suggesting good short-term liquidity. Integra Lifesciences Holdings Corp's quick ratio has been consistently above 1 over the five-year period, indicating a healthy liquidity position.

A higher quick ratio is generally preferred as it signifies a company's ability to meet its short-term obligations without relying heavily on inventory sales. However, it is essential to consider the industry norms and specific business circumstances when evaluating the adequacy of the quick ratio. Overall, Integra Lifesciences Holdings Corp's quick ratio demonstrates a satisfactory level of liquidity over the years, indicating its ability to meet its short-term financial obligations comfortably.