Incyte Corporation (INCY)
Quick ratio
| Dec 31, 2024 | Sep 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,687,830 | 1,304,110 | 3,346,200 | 3,213,380 | 3,227,230 | 3,131,120 | 2,821,050 | 2,951,420 | 2,690,620 | 2,435,380 | 2,256,760 | 2,057,440 | 1,999,020 | 1,797,580 | 1,669,970 | 1,513,010 | 1,497,780 | 1,326,730 | 1,043,240 | 1,832,680 |
| Short-term investments | US$ in thousands | 470,263 | 470,579 | 504,484 | 442,667 | 289,223 | 292,243 | 291,661 | 287,543 | 286,500 | 287,044 | 287,401 | 290,752 | 285,054 | 283,385 | 292,425 | 288,369 | 237,025 | 262,756 | 259,351 | 284,870 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,641,850 | 1,501,650 | 1,396,450 | 1,240,380 | 1,124,680 | 1,118,770 | 1,006,110 | 1,157,080 | 1,006,600 | 926,674 | 886,163 | 854,308 | 742,712 | 660,324 | 623,881 | 631,195 | 606,202 | 556,513 | 503,412 | 513,340 |
| Quick ratio | 1.31 | 1.18 | 2.76 | 2.95 | 3.13 | 3.06 | 3.09 | 2.80 | 2.96 | 2.94 | 2.87 | 2.75 | 3.08 | 3.15 | 3.15 | 2.85 | 2.86 | 2.86 | 2.59 | 4.13 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,687,830K
+ $470,263K
+ $—K)
÷ $1,641,850K
= 1.31
The quick ratio of Incyte Corporation has exhibited some fluctuations over the given period. It was at a healthy level of 4.13 as of December 31, 2019, indicating a strong ability to meet short-term obligations with its most liquid assets. However, the quick ratio gradually decreased to 2.59 as of March 31, 2020, which could raise some concerns about the company's liquidity position.
From March 2020 to September 2021, the quick ratio consistently stayed above 2.5, showing adequate liquidity levels. The ratio peaked at 3.15 in March and June 2021, signaling a favorable ability to cover short-term liabilities without relying on inventory.
In the later periods, the quick ratio fluctuated between 2.75 and 3.13 until September 30, 2023, indicating a stable liquidity position overall. However, by December 31, 2023, the quick ratio dropped to 2.95, and further declined to 2.76 by March 31, 2024, possibly indicating a reduced ability to quickly cover current liabilities with liquid assets.
The most notable decline in the quick ratio occurred by September 30, 2024, when it plummeted sharply to 1.18, which may raise concerns about the company's liquidity and ability to meet short-term obligations. The quick ratio slightly improved to 1.31 by December 31, 2024.
Overall, the trend of Incyte Corporation's quick ratio suggests that while the company generally maintained a healthy liquidity position, there were some periods of deterioration which might require further investigation and monitoring to ensure sustained financial stability.
Peer comparison
Dec 31, 2024