Jazz Pharmaceuticals PLC (JAZZ)
Quick 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 | 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 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| 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 |
| Quick 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
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,412,860K
+ $580,000K
+ $—K)
÷ $1,038,570K
= 2.88
The quick ratio of Jazz Pharmaceuticals PLC provides insights into the company's ability to meet its short-term liabilities with highly liquid assets. From March 31, 2020, to June 30, 2020, the quick ratio improved significantly from 2.48 to 4.14, indicating a strong liquidity position during that period. However, the ratio saw fluctuations in the subsequent quarters, ranging from 2.99 to 0.67 as of March 31, 2022. This downward trend suggested a potential liquidity challenge for the company.
Throughout the following quarters up to December 31, 2024, the quick ratio showed some recovery, fluctuating between 0.98 and 2.88. Notably, by the end of December 31, 2024, the quick ratio stood at 2.88, demonstrating a substantial improvement in the company's liquidity position compared to the trough in the first quarter of 2022.
Overall, the analysis of Jazz Pharmaceuticals PLC's quick ratio indicates that the company experienced fluctuations in its liquidity position over the reviewed period. While the ratio improved towards the end of 2024, it is essential for stakeholders to monitor the trend consistently to ensure the company maintains an appropriate level of liquidity to meet its short-term obligations effectively.
Peer comparison
Dec 31, 2024