JetBlue Airways Corp (JBLU)
Liquidity ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 1.10 | 1.21 | 0.54 | 0.54 | 0.60 | 0.26 | 0.38 | 0.52 | 0.51 | 0.67 | 0.74 | 0.81 | 0.95 | 1.03 | 0.61 | 1.15 | 1.25 | 1.23 | 0.95 | 0.61 |
| Quick ratio | 0.93 | 1.07 | 0.38 | 0.39 | 0.43 | 0.37 | 0.43 | 0.38 | 0.37 | 0.54 | 0.61 | 0.69 | 0.83 | 0.92 | 0.94 | 1.03 | 1.14 | 1.08 | 0.73 | 0.50 |
| Cash ratio | 0.93 | 1.07 | 0.38 | 0.39 | 0.43 | 0.37 | 0.43 | 0.38 | 0.37 | 0.54 | 0.61 | 0.69 | 0.83 | 0.92 | 0.94 | 1.03 | 1.14 | 1.08 | 0.73 | 0.50 |
JetBlue Airways Corp's liquidity ratios have shown fluctuating trends over the past few years. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, has generally been below 1, indicating potential liquidity challenges. However, there have been periods where the current ratio improved, reaching above 1, which is a positive sign.
The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has also exhibited variability. Similar to the current ratio, the quick ratio has mostly been below 1, suggesting potential difficulties in meeting short-term obligations without relying on inventory.
The cash ratio, representing the most conservative estimate of liquidity by considering only cash and cash equivalents, has followed a similar pattern to the quick ratio. Generally, the cash ratio has been below 1, indicating limited ability to cover short-term liabilities solely with cash on hand.
Overall, JetBlue Airways Corp's liquidity ratios indicate a mixed performance in terms of its ability to meet short-term obligations. The company may need to focus on improving its liquidity position to ensure financial stability and mitigate potential risk in the future.
Additional liquidity measure
| 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 conversion cycle | days | 6.75 | 5.93 | 5.44 | 4.86 | 4.92 | 4.38 | 4.15 | 3.46 | 4.13 | 3.92 | 3.81 | 3.93 | 4.75 | 4.61 | 4.92 | 6.59 | 6.35 | 5.58 | 5.04 | 5.05 |
The cash conversion cycle for JetBlue Airways Corp has shown fluctuations over the years. The cycle peaked at 6.75 days as of December 31, 2024, indicating a lengthening period required to convert input costs into cash inflows from sales. This increase could be due to slower collections from customers or extended payment cycles to suppliers.
Conversely, the cycle reached a low of 3.46 days as of March 31, 2023, suggesting an improvement in efficiency as the company managed to convert its resources into cash more swiftly. JetBlue saw a notable decrease in the cycle during the first quarter of 2023, possibly indicating enhanced working capital management or streamlined operations.
Overall, fluctuations in JetBlue's cash conversion cycle over the period indicate the company's ability to efficiently manage its cash flow, aligning its payables and receivables turnover to optimize working capital. It is essential for JetBlue to consistently monitor and improve its cash conversion cycle to ensure liquidity and operational efficiency in the long term.