Qorvo Inc (QRVO)

Quick ratio

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Cash US$ in thousands 1,021,180 1,029,260 808,757 972,592 1,397,880
Short-term investments US$ in thousands — 84 1,094 2,906 3,802
Receivables US$ in thousands 386,719 427,387 304,519 568,850 457,431
Total current liabilities US$ in thousands 783,182 1,230,090 555,763 675,127 681,581
Quick ratio 1.80 1.18 2.01 2.29 2.73

March 31, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,021,180K + $—K + $386,719K) ÷ $783,182K
= 1.80

The quick ratio of Qorvo Inc has shown a decline from 2.73 as of March 31, 2021, to 1.80 as of March 31, 2025. This downward trend indicates that the company's ability to meet its short-term obligations with its most liquid assets, excluding inventory, has weakened over the period. However, it is noteworthy that the quick ratio remains above 1 in all years, suggesting that Qorvo Inc still possesses an adequate level of liquid assets to cover its current liabilities, albeit to a lesser extent in more recent years. It would be advisable for stakeholders to continue monitoring this ratio to assess the company's liquidity position and its ability to manage short-term financial obligations effectively.