Krystal Biotech Inc (KRYS)
Cash ratio
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
---|---|---|---|---|---|---|
Cash and cash equivalents | US$ in thousands | 358,328 | 161,900 | 341,246 | 268,269 | 187,514 |
Short-term investments | US$ in thousands | 173,872 | 217,300 | 96,854 | 3,031 | 6,186 |
Total current liabilities | US$ in thousands | 33,094 | 28,847 | 25,736 | 15,452 | 3,327 |
Cash ratio | 16.08 | 13.15 | 17.02 | 17.56 | 58.22 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($358,328K
+ $173,872K)
÷ $33,094K
= 16.08
The cash ratio of Krystal Biotech Inc has exhibited fluctuations over the past five years. The ratio stood at 16.08 on Dec 31, 2023, indicating that the company had $16.08 in cash and cash equivalents for every dollar of current liabilities. This represents an improvement compared to the previous year when the cash ratio was 13.15.
While the company's cash ratio has varied, it has generally remained at levels that suggest Krystal Biotech Inc has maintained a strong ability to cover its short-term obligations with its available cash resources. The significant decrease in the cash ratio from 58.22 in 2019 to 16.08 in 2023, however, may warrant further investigation into the company's liquidity position and cash management practices.
Overall, a cash ratio above 1 indicates that Krystal Biotech Inc has sufficient cash to cover its short-term liabilities, although investors and analysts should consider other liquidity ratios and financial metrics in conjunction with the cash ratio to gain a comprehensive understanding of the company's financial health.
Peer comparison
Dec 31, 2023