ICU Medical Inc (ICUI)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 254,222 | 208,784 | 552,827 | 396,097 | 268,670 |
| Short-term investments | US$ in thousands | 501 | 4,224 | 14,420 | 14,687 | 23,967 |
| Receivables | US$ in thousands | 161,566 | 221,719 | 105,894 | 124,093 | 202,219 |
| Total current liabilities | US$ in thousands | 481,838 | 494,559 | 200,777 | 195,488 | 248,468 |
| Quick ratio | 0.86 | 0.88 | 3.35 | 2.74 | 1.99 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($254,222K
+ $501K
+ $161,566K)
÷ $481,838K
= 0.86
The quick ratio of ICU Medical, Inc. has been fluctuating over the past five years, ranging from a low of 1.06 in 2023 to a high of 3.68 in 2021. A quick ratio above 1 indicates that the company has sufficient liquid assets to cover its current liabilities.
In 2021, the quick ratio surged to 3.68, reflecting a substantial increase in the company's ability to meet its short-term obligations with its liquid assets. However, this was followed by a decline to 3.10 in 2020 and a further decrease to 1.09 in 2022. The quick ratio dropped even lower to 1.06 in 2023, which may raise concerns about the company's liquidity position in the most recent year.
Overall, although the company has shown periods of strong liquidity with quick ratios above 1, the recent downward trend in the quick ratio indicates a potential decrease in the company's ability to quickly cover its current liabilities with its liquid assets. This trend would warrant further investigation to understand the factors contributing to these fluctuations and the potential impact on the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2023