Krystal Biotech Inc (KRYS)

Cash ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Cash and cash equivalents	US$ in thousands	359,006	358,328	373,241	275,875	140,745	161,900	186,409	218,720	269,303	341,246	286,614	329,527	402,172	268,269	282,369	291,678	180,225	187,514	194,806	186,587
Short-term investments	US$ in thousands	179,294	173,872	188,859	201,625	209,655	217,300	207,991	206,880	165,297	96,854	56,486	38,173	1,228	3,031	4,031	5,522	6,475	6,186	8,394	8,913
Total current liabilities	US$ in thousands	47,589	33,094	27,583	23,898	35,076	28,847	28,032	34,427	60,437	25,736	35,779	18,119	9,144	15,452	7,198	5,831	4,061	3,327	3,726	3,940
Cash ratio		11.31	16.08	20.38	19.98	9.99	13.15	14.07	12.36	7.19	17.02	9.59	20.29	44.12	17.56	39.79	50.97	45.97	58.22	54.54	49.62

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($359,006K + $179,294K) ÷ $47,589K
= 11.31

The cash ratio of Krystal Biotech Inc has experienced fluctuations over the past several quarters. The cash ratio indicates the company's ability to cover its short-term liabilities with its available cash and cash equivalents.

The cash ratio was relatively low at 7.19 on March 31, 2022, indicating that the company had a lower percentage of cash available to meet its short-term obligations compared to its other assets. However, the ratio improved significantly to 44.12 on December 31, 2021, and further increased to 58.22 on March 31, 2020, indicating that the company had more than enough cash to cover its short-term liabilities during those quarters.

The cash ratio then experienced a decline, dropping to 9.99 on March 31, 2023, suggesting a lower liquidity position. However, it improved to 20.38 on September 30, 2023, and further to 16.08 on December 31, 2023. This indicates that the company enhanced its ability to cover short-term obligations with available cash in those quarters.

Overall, the trend in the cash ratio of Krystal Biotech Inc shows varying levels of liquidity over the quarters analyzed. It is essential for the company to maintain a healthy cash ratio to ensure it can meet its short-term obligations effectively. Further analysis of the company's cash management policies and operational efficiency may provide insights into the fluctuations observed in its cash ratio.