Mednax Inc (MD)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 73,258 | 9,824 | 387,391 | 1,123,840 | 107,870 |
| Short-term investments | US$ in thousands | 104,485 | 93,239 | 99,715 | 104,870 | 0 |
| Receivables | US$ in thousands | 272,313 | 296,787 | 316,024 | 241,931 | 498,869 |
| Total current liabilities | US$ in thousands | 388,946 | 426,983 | 427,366 | 444,335 | 541,818 |
| Quick ratio | 1.16 | 0.94 | 1.88 | 3.31 | 1.12 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($73,258K
+ $104,485K
+ $272,313K)
÷ $388,946K
= 1.16
The quick ratio of Pediatrix Medical Group Inc has fluctuated over the past five years. In 2023, the quick ratio stands at 1.24, indicating that the company has $1.24 of liquid assets available to cover each dollar of current liabilities. This represents an improvement from 2022 when the quick ratio was 1.00.
Compared to 2021 and 2019, where the quick ratio was 1.97 and 1.35 respectively, the current ratio for 2023 is lower, suggesting a potential decrease in the company's ability to meet its short-term obligations with its most liquid assets. However, when compared to 2020, when the quick ratio was significantly higher at 3.49, the 2023 quick ratio still indicates that the company continues to maintain a relatively strong ability to cover its short-term liabilities with its quick assets.
It is important to note that a quick ratio above 1.0 typically indicates that a company can meet its short-term obligations, but a higher ratio is generally preferred as it signifies a stronger liquidity position. The fluctuation in the quick ratio of Pediatrix Medical Group Inc over the years may warrant further investigation into the company's liquidity management and operational efficiency.
Peer comparison
Dec 31, 2023