Integer Holdings Corp (ITGR)

Integer Holdings Corp has shown a consistent improvement in its liquidity ratios over the past five years.

The current ratio measures the company's ability to meet its short-term obligations with its current assets. Integer's current ratio has generally been increasing, indicating that the company is maintaining a strong position to cover its short-term liabilities. As of December 31, 2023, the current ratio stood at 2.80, showing that the company had $2.80 in current assets for every $1 in current liabilities.

The quick ratio, also known as the acid-test ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. Integer's quick ratio has also shown improvement over the years, with a value of 1.71 as of December 31, 2023. This indicates that the company has $1.71 in liquid assets (excluding inventory) available to cover each $1 of current liabilities.

The cash ratio reflects the company's ability to pay off its current liabilities using only its cash and cash equivalents. Integer's cash ratio has generally increased, reaching 0.62 as of December 31, 2023. This signifies that the company had $0.62 in cash and cash equivalents for every $1 of current liabilities.

Overall, Integer Holdings Corp's liquidity ratios demonstrate a strong liquidity position, indicating that the company has the ability to meet its short-term obligations comfortably. The improving trend in these ratios over the years suggests that the company is effectively managing its liquidity and financial resources.

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Additional liquidity measure

The cash conversion cycle of Integer Holdings Corp has shown fluctuations over the past five years. In 2023, the company's cash conversion cycle decreased to 91.92 days from 95.20 days in 2022. This indicates that the company was able to manage its cash, inventory, and accounts receivable more efficiently in converting its resources into cash during the year.

Comparing 2023 to 2021, the cash conversion cycle increased slightly from 88.46 days to 91.92 days. This may suggest that Integer Holdings Corp took longer to convert its investments in inventory and accounts receivable into cash in 2023 compared to 2021.

In 2023, the company's cash conversion cycle was lower than in 2020 and 2019, where it stood at 99.12 days and 97.04 days, respectively. This improvement over the past two years indicates that Integer Holdings Corp has been more effective in managing its working capital and turning it into cash within the operating cycle.

Overall, the trend in the cash conversion cycle of Integer Holdings Corp shows some variability but generally reflects improvements in cash management efficiency over the past five years.