Myriad Genetics Inc (MYGN)

Liquidity ratios

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 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Current ratio 1.96 1.99 2.01 1.27 1.33 1.83 2.00 2.73 3.07 2.57 2.37 2.46 1.99 2.21 2.95 2.26 3.14 3.25 2.86 2.96
Quick ratio 1.44 1.52 1.64 0.96 1.06 1.38 1.98 2.27 2.62 2.22 2.40 2.26 0.96 1.83 1.85 1.96 2.53 2.34 2.29 2.34
Cash ratio 0.65 0.71 0.90 0.41 0.55 0.55 1.24 1.48 1.71 1.61 1.95 1.80 0.61 1.18 1.20 1.48 1.60 1.26 1.24 1.16

Myriad Genetics Inc's liquidity ratios exhibit fluctuations over the periods under review. The current ratio, which measures the company's ability to cover short-term obligations with its current assets, has generally remained above 1, indicating a healthy liquidity position. However, there are notable fluctuations in the current ratio, with a peak at 3.07 in September 2022, which implies a significant increase in current assets relative to current liabilities.

The quick ratio, which provides a more stringent assessment of liquidity by excluding inventory from current assets, also reflects fluctuations but generally remains above 1, indicating that the company can meet its short-term obligations without relying on selling inventory. Notably, there are instances when the quick ratio falls below 1, such as in September 2020, which could indicate potential liquidity challenges in those periods.

The cash ratio, which measures the company's ability to cover short-term liabilities using only cash and cash equivalents, shows a more volatile trend with considerable fluctuations. The ratios range from as low as 0.41 in September 2023 to as high as 1.95 in March 2021. These fluctuations suggest variability in the company's cash position, with potential implications for its ability to meet immediate obligations solely with cash on hand.

Overall, while Myriad Genetics Inc generally maintains healthy liquidity positions based on the current and quick ratios, the fluctuating nature of these ratios, along with the volatile cash ratio, indicates the need for close monitoring of the company's liquidity management to ensure continued financial health and stability.

Additional liquidity measure

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 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Cash conversion cycle days 50.22 52.01 54.10 54.00 50.90 54.88 49.44 38.20 44.08 37.02 30.89 52.87 51.83 64.50 58.39 45.34 51.36 59.66 56.48 59.08

The cash conversion cycle of Myriad Genetics Inc has fluctuated over the past several quarters. The company's cash conversion cycle, a measure of how long it takes to convert its resources into cash, ranged from a low of 30.89 days in March 2022 to a high of 64.50 days in March 2021.

The trend indicates that Myriad Genetics Inc has seen some variability in managing its working capital efficiently over time. A lower cash conversion cycle suggests that the company is able to generate cash quickly from its operations. Conversely, a higher cash conversion cycle may indicate inefficiencies in managing inventory, receivables, or payables.

It is important for the company to closely monitor and manage its cash conversion cycle to ensure optimal working capital management and liquidity. By improving operational efficiency, the company can potentially reduce its cash conversion cycle, leading to better cash flow and financial health in the long term.