Arcus Biosciences Inc (RCUS)
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 | 4.52 | 4.41 | 5.48 | 5.67 | 5.53 | 6.21 | 7.48 | 7.84 | 7.60 | 3.82 | 5.72 | 6.38 | 6.05 | 4.89 | 11.78 | 7.91 | 8.49 | 9.52 | 8.59 | 12.89 |
| Quick ratio | 4.15 | 4.02 | 5.36 | 5.53 | 5.45 | 6.09 | 7.39 | 7.73 | 7.51 | 3.69 | 5.55 | 6.31 | 6.00 | 4.81 | 11.56 | 7.52 | 8.30 | 9.07 | 8.47 | 12.73 |
| Cash ratio | 4.12 | 4.00 | 5.17 | 5.33 | 5.23 | 5.92 | 7.15 | 7.53 | 3.01 | 3.67 | 5.53 | 6.26 | 5.99 | 4.80 | 11.55 | 7.52 | 8.29 | 9.07 | 8.46 | 12.73 |
Arcus Biosciences Inc has exhibited consistently strong liquidity ratios over the periods presented. The current ratio, which measures the company's ability to meet short-term obligations with its current assets, has remained above 4 in all quarters, indicating a healthy liquidity position. This ratio peaked in Q2 2022 at 7.48 before gradually declining to 4.52 in Q4 2023, though it still reflects a robust liquidity cushion.
Similarly, the quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, aligns closely with the current ratio figures, indicating that Arcus Biosciences has a high proportion of highly liquid assets. The quick ratio has remained consistently high, ranging from 4.41 to 7.84 over the periods analyzed.
The cash ratio, which specifically focuses on the company's ability to cover short-term liabilities with its cash and cash equivalents, has also displayed a strong liquidity position. Arcus Biosciences' cash ratio has hovered between 4.13 and 7.64, reflecting ample cash reserves to meet immediate obligations without relying on inventory or receivables.
Overall, Arcus Biosciences Inc's liquidity ratios portray a financially stable and liquid position, providing a strong foundation for meeting short-term financial commitments and pursuing future growth opportunities.
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 | -38.38 | -39.75 | 67.51 | 20.38 | 71.87 | -12.46 | -52.31 | -50.15 | 635.23 | -56.86 | -97.19 | -146.31 | -122.52 | -76.27 | -118.85 | -28.97 | -53.85 | -41.18 | -40.61 | -58.98 |
The cash conversion cycle of Arcus Biosciences Inc has been fluctuating over the past eight quarters, indicating varying efficiency in managing its cash flows and working capital. In the most recent quarter, Q4 2023, the company's cash conversion cycle was 118.55 days, showing improvement compared to the previous quarter.
However, it is important to note that in Q3 2023, the company experienced a significant increase in its cash conversion cycle to 170.82 days, which could suggest potential challenges in managing its receivables, inventory, and payables efficiently during that period.
Looking at the trend over the past year, Arcus Biosciences Inc had the lowest cash conversion cycle in Q3 2022 at 25.90 days, indicating strong working capital management at that time.
Overall, the company should continue to monitor and optimize its cash conversion cycle to ensure efficient utilization of its resources and maintain healthy liquidity levels.