Enviri Corporation (NVRI)

Liquidity ratios

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 Mar 31, 2019
Current ratio 1.26 1.40 1.36 1.28 1.29 1.35 1.32 1.50 1.45 1.53 1.56 1.63 1.52 1.51 1.56 1.51 1.40 1.21 1.47 1.52
Quick ratio 0.67 0.70 0.70 0.65 0.62 0.64 0.66 0.84 0.82 0.94 0.98 1.02 0.96 0.97 0.99 0.90 0.84 0.56 0.92 1.02
Cash ratio 0.19 0.16 0.14 0.15 0.14 0.14 0.16 0.14 0.14 0.13 0.14 0.15 0.14 0.16 0.16 0.15 0.12 0.10 0.20 0.20

Enviri Corp's liquidity ratios show fluctuations over the past eight quarters.

The current ratio indicates the company's ability to meet its short-term obligations with its current assets. Enviri Corp's current ratio ranged from 1.26 to 1.50 during the period analyzed, with an average of approximately 1.35. This suggests that the company generally had enough current assets to cover its current liabilities, although the ratio experienced some variability.

The quick ratio, which provides a more stringent measure of liquidity by excluding inventory from current assets, ranged from 0.70 to 0.91, with an average of around 0.77. This indicates that Enviri Corp may have had a somewhat lower ability to cover its short-term obligations without relying on selling inventory.

The cash ratio, representing the most conservative measure of liquidity, fluctuated between 0.21 and 0.27, averaging around 0.24. This ratio indicates the company's ability to cover its current liabilities using only cash and cash equivalents, showing a somewhat limited ability to meet short-term obligations solely with liquid assets.

Overall, Enviri Corp's liquidity ratios reveal variations in its ability to meet short-term obligations over the analyzed period, with the current ratio generally staying above 1, but the quick and cash ratios indicating a more limited short-term liquidity position. Investors and creditors may need to monitor these ratios to assess the company's liquidity risk effectively.

Additional liquidity measure

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 Mar 31, 2019
Cash conversion cycle days 30.41 30.84 33.13 25.57 26.81 28.51 26.54 53.79 52.83 88.42 91.11 92.89 74.79 92.00 97.56 88.13 75.36 64.90 46.63 78.16

The cash conversion cycle of Enviri Corp has shown some fluctuations over the past eight quarters. The company's cash conversion cycle ranged from a low of 25.57 days in Q1 2023 to a high of 56.32 days in Q1 2022. Generally, a lower cash conversion cycle indicates that the company is efficient in converting its investments in inventory and accounts receivable into cash.

During Q1 2023, Enviri Corp displayed the most efficient cash conversion cycle of 25.57 days, suggesting that the company effectively managed its inventory and accounts receivable, turning them into cash quickly. In contrast, Q1 2022 recorded the longest cash conversion cycle of 56.32 days, indicating that the company took a longer time to convert its investments in inventory and accounts receivable into cash during that period.

Overall, Enviri Corp should aim to maintain a low cash conversion cycle to ensure efficient cash flow management and optimize its working capital. By closely monitoring and managing its inventory and accounts receivable turnover, the company can continue to improve its cash conversion cycle and enhance its overall financial performance.