Quidel Corporation (QDEL)
Liquidity ratios
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||||
|---|---|---|---|---|---|---|---|
| Current ratio | 1.57 | 1.59 | 1.66 | 1.65 | 1.56 | 1.66 | 1.73 |
| Quick ratio | 0.73 | 0.77 | 0.75 | 0.44 | 0.83 | 0.30 | 0.48 |
| Cash ratio | 0.20 | 0.22 | 0.28 | 0.44 | 0.34 | 0.30 | 0.48 |
The liquidity ratios of Quidel Corporation show varying levels of liquidity over the past four quarters.
- Current Ratio: Quidel's current ratio has been relatively stable, ranging from 1.56 to 1.73, indicating that the company has consistently had more than $1 in current assets to cover $1 of current liabilities.
- Quick Ratio: Quidel's quick ratio has fluctuated significantly, ranging from 0.30 to 0.83. This ratio reflects the company's ability to meet its short-term obligations without relying on inventory sales. The lower quick ratios may indicate potential issues with inventory management or difficulties in quickly converting assets to cash.
- Cash Ratio: Quidel's cash ratio has also varied, from 0.20 to 0.48, suggesting that the company has maintained an adequate level of cash to cover its current liabilities. The higher cash ratios indicate a stronger ability to pay off short-term obligations with readily available cash.
Overall, while Quidel Corporation's current ratio shows consistent liquidity, the fluctuating quick and cash ratios may warrant further analysis to understand the underlying reasons for the variability and potential implications for the company's short-term financial health.
Additional liquidity measure
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||
|---|---|---|---|---|---|
| Cash conversion cycle | days | 97.73 | 99.91 | 90.28 | 45.90 |
Quidel Corporation's cash conversion cycle fluctuated over the four quarters in 2023. The cash conversion cycle, which represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, was 97.73 days at the end of December 2023. This figure decreased to 99.91 days by the end of September 2023, before experiencing a notable improvement to 90.28 days by the end of June 2023. The cash conversion cycle sharply decreased to 45.90 days by the end of March 2023, indicating Quidel Corporation's efficiency in managing its working capital during that quarter. Overall, fluctuations in the cash conversion cycle suggest variations in the company's inventory management, accounts receivable collection, and accounts payable payment practices over the course of the year.