Jazz Pharmaceuticals PLC (JAZZ)
Cash ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 2,412,860 | 2,218,140 | 1,295,800 | 1,233,380 | 1,206,310 | 1,335,690 | 1,282,300 | 1,167,910 | 881,482 | 839,358 | 711,265 | 490,835 | 591,448 | 671,780 | 891,400 | 2,097,530 | 1,057,770 | 741,942 | 786,082 | 701,602 |
| Short-term investments | US$ in thousands | 580,000 | 400,000 | 685,000 | 585,000 | 420,000 | 250,000 | 80,000 | 180,000 | 30,000 | 60,000 | 60,000 | — | 0 | 130,000 | 140,000 | 335,000 | 1,075,000 | 1,175,000 | 910,000 | 280,000 |
| Total current liabilities | US$ in thousands | 1,038,570 | 1,029,980 | 1,556,020 | 1,562,210 | 1,536,690 | 1,573,330 | 945,265 | 908,902 | 933,193 | 812,954 | 705,442 | 737,409 | 809,303 | 735,053 | 880,588 | 752,093 | 653,745 | 642,133 | 409,960 | 396,123 |
| Cash ratio | 2.88 | 2.54 | 1.27 | 1.16 | 1.06 | 1.01 | 1.44 | 1.48 | 0.98 | 1.11 | 1.09 | 0.67 | 0.73 | 1.09 | 1.17 | 3.23 | 3.26 | 2.99 | 4.14 | 2.48 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,412,860K
+ $580,000K)
÷ $1,038,570K
= 2.88
The cash ratio of Jazz Pharmaceuticals PLC has fluctuated over the years, indicating varying levels of liquidity. The ratio measures the company's ability to cover its short-term obligations with its cash and cash equivalents.
From March 31, 2020, to December 31, 2021, the cash ratio generally remained above 1, indicating the company had sufficient cash to cover its short-term liabilities during this period. However, there was a noticeable decline in the ratio from June 30, 2021, to December 31, 2021, suggesting a decrease in liquidity.
The ratio improved in the first half of 2022 but dipped again in the following quarters. Particularly, the cash ratio dropped below 1 in December 31, 2021, and fluctuated around this level until March 31, 2023. This indicates that the company may have faced challenges in maintaining adequate liquidity during this time frame.
In the latter part of 2023 and throughout 2024, there was an uptick in the cash ratio, reaching levels above 2 by September 30, 2024, and December 31, 2024. This suggests an improvement in the company's liquidity position, possibly due to increased cash reserves or more efficient management of cash and cash equivalents.
Overall, monitoring the cash ratio of Jazz Pharmaceuticals PLC is essential for stakeholders to assess the company's ability to meet its short-term financial obligations using its readily available cash resources.
Peer comparison
Dec 31, 2024