Qorvo Inc (QRVO)

Cash ratio

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cash and cash equivalents	US$ in thousands	1,029,260	808,757	972,592	1,397,880	714,939
Short-term investments	US$ in thousands	—	1,094	2,906	3,802	459
Total current liabilities	US$ in thousands	1,230,090	555,763	675,127	681,581	539,003
Cash ratio		0.84	1.46	1.44	2.06	1.33

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,029,260K + $—K) ÷ $1,230,090K
= 0.84

The cash ratio for Qorvo Inc has shown some fluctuations over the past five years. As of March 31, 2024, the cash ratio stands at 0.84, indicating that for every dollar of current liabilities, the company has $0.84 in cash and cash equivalents available to cover its short-term obligations. This represents a decrease from the previous year's cash ratio of 1.46.

The downward trend in the cash ratio could suggest that Qorvo Inc may be facing challenges in maintaining sufficient liquid assets to meet its current liabilities. A lower cash ratio may indicate potential liquidity concerns, as the company may have reduced financial flexibility to settle its short-term debts.

It is important for investors and analysts to closely monitor Qorvo Inc's cash ratio and assess the company's ability to manage its short-term financial obligations effectively. Further analysis of the company's cash flow, working capital management, and overall financial health would provide more insights into its liquidity position.