Protagonist Therapeutics Inc (PTGX)
Liquidity ratios
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Current ratio | 16.71 | 7.80 | 7.74 | 7.84 | 4.10 |
| Quick ratio | 16.06 | 7.74 | 7.55 | 7.70 | 3.97 |
| Cash ratio | 16.06 | 7.61 | 7.43 | 7.60 | 3.76 |
Protagonist Therapeutics Inc's liquidity ratios have shown consistent improvement over the past five years. The current ratio has significantly increased from 4.10 in 2019 to 16.71 in 2023, indicating that the company's current assets are more than sufficient to cover its current liabilities. Similarly, the quick ratio and cash ratio have also shown significant improvement, indicating the company's ability to meet its short-term obligations with its most liquid assets.
These strong liquidity ratios suggest that Protagonist Therapeutics Inc has a healthy financial position, with ample resources to cover its short-term liabilities. The consistent increase in these ratios over the years reflects the company's improving liquidity management and ability to effectively manage its working capital.
Additional liquidity measure
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash conversion cycle | days | -8.41 | 10.79 | 163.56 | 68.30 | 23,242.53 |
The cash conversion cycle of Protagonist Therapeutics Inc has shown significant fluctuations over the past five years.
In 2019, the company had an extremely high cash conversion cycle of 23,242.53 days, indicating a substantial delay in converting its investments in inventory and other resources back into cash.
There was a substantial improvement in 2020 as the cash conversion cycle dropped to 68.30 days, suggesting a more efficient management of working capital during this period.
However, in 2021, the cash conversion cycle sharply increased to 163.56 days, signaling potential challenges in managing the company's cash flow and working capital effectively.
The trend reversed in 2022, with the cash conversion cycle turning negative at -8.41 days, indicating that the company was able to convert its resources back into cash at a faster rate than the time it took to pay its short-term obligations.
Overall, the fluctuations in the cash conversion cycle of Protagonist Therapeutics Inc over the years suggest varying levels of efficiency in managing its working capital, with the company experiencing both challenges and improvements in converting investments into cash.