Ligand Pharmaceuticals Incorporated (LGND)

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	72,307	63,619	18,139	50,093	22,954	19,275	219,041	282,665	45	121	5,280	14,993	19,522	23,430	21,863	31,853	47,619	456,916	809,880	738,811
Short-term investments	US$ in thousands	183,858	156,024	208,793	260,500	147,355	171,227	190,596	193,937	167	117	142,655	189,006	321,586	299,781	279,972	307,354	363,567	338,154	694,724	32,879
Total current liabilities	US$ in thousands	37,112	24,772	18,565	17,818	16,782	18,866	29,388	98,929	98,810	135	167,853	42,578	41,665	36,297	52,497	95,805	100,111	42,300	31,370	20,438
Cash ratio		6.90	8.87	12.22	17.43	10.15	10.10	13.94	4.82	0.00	1.76	0.88	4.79	8.19	8.90	5.75	3.54	4.11	18.80	47.96	37.76

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($72,307K + $183,858K) ÷ $37,112K
= 6.90

The cash ratio of Ligand Pharmaceuticals Incorporated has fluctuated over the specified periods, ranging from a high of 47.96% on June 30, 2020, to a low of 0.00% on December 31, 2022. This ratio indicates the company's ability to cover its current liabilities with its cash and cash equivalents. A higher cash ratio suggests a better ability to meet short-term obligations without relying on external sources of funds.

The trend in Ligand Pharmaceuticals' cash ratio shows periods of volatility, with a notable decline in the ratio from December 31, 2021, to June 30, 2022. This drop may indicate a potential liquidity challenge faced by the company during that time. However, following this decline, the cash ratio gradually increased, reaching 17.43% on March 31, 2024.

Overall, the cash ratio of Ligand Pharmaceuticals has shown variability, indicating fluctuations in the company's liquidity position over the analyzed periods. Investors and stakeholders may closely monitor this ratio to assess the firm's ability to meet its short-term financial obligations using its available cash resources.