Lattice Semiconductor Corporation (LSCC)
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 | 3.66 | 3.98 | 4.40 | 4.18 | 3.78 | 3.58 | 3.75 | 3.59 | 2.98 | 3.09 | 2.96 | 3.02 | 2.84 | 3.40 | 3.91 | 4.18 | 4.19 | 3.86 | 3.66 | 3.40 |
| Quick ratio | 1.37 | 1.35 | 1.36 | 1.32 | 1.32 | 1.14 | 1.13 | 1.15 | 1.14 | 1.08 | 1.11 | 1.24 | 1.24 | 1.76 | 2.12 | 2.30 | 2.29 | 2.08 | 1.82 | 1.88 |
| Cash ratio | 1.37 | 1.35 | 1.36 | 1.32 | 1.32 | 1.14 | 1.13 | 1.15 | 1.14 | 1.08 | 1.11 | 1.24 | 1.24 | 1.76 | 2.12 | 2.30 | 2.29 | 2.08 | 1.82 | 1.88 |
Lattice Semiconductor Corporation's liquidity ratios show a solid current ratio, indicating a healthy ability to cover short-term obligations with current assets. The current ratio has been consistently above 2 and peaked at 4.40 in June 30, 2024, before slightly decreasing to 3.66 by December 31, 2024.
The quick ratio, which provides a more stringent measure of liquidity by excluding inventory from current assets, also indicates a sufficient level of liquidity. Although it decreased from 2.29 in December 31, 2020, to 1.37 in December 31, 2024, the quick ratio remained above 1, showing the company's ability to meet short-term liabilities without relying on inventory.
The cash ratio, representing the ability to cover current liabilities with cash and cash equivalents, remained relatively stable over the period. Despite some fluctuations, the cash ratio generally stayed around the range of 1.08 to 2.30, providing a conservative measure of liquidity and showing the company's capacity to meet obligations without relying heavily on other current assets.
Overall, Lattice Semiconductor Corporation exhibits strong liquidity positions based on these ratios, indicating its ability to meet short-term financial commitments efficiently.
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 | 201.43 | 188.37 | 167.94 | 151.59 | 155.72 | 168.95 | 184.22 | 199.44 | 193.40 | 167.20 | 141.09 | 132.13 | 127.40 | 130.25 | 135.32 | 129.03 | 144.82 | 134.49 | 121.25 | 108.25 |
The cash conversion cycle of Lattice Semiconductor Corporation has shown fluctuations over the reported periods. Initially, the company had a cash conversion cycle of around 108 days, which increased to 144 days by the end of December 2020. Subsequently, there was a decrease in the cash conversion cycle, reaching 127 days by December 2021.
However, from March 2022 onwards, the cash conversion cycle began to rise again, hitting a peak of 201 days by the end of December 2024. This indicates that the company is taking longer to convert its investments in inventory into cash receipts from sales, which could potentially signify inefficiencies in managing its working capital.
Overall, the increasing trend in the cash conversion cycle suggests that Lattice Semiconductor Corporation may be facing challenges in optimizing its operational processes related to inventory management, accounts receivable collection, and accounts payable payment. Further analysis and corrective measures may be necessary to improve the company's cash conversion efficiency and overall financial performance.