Regeneron Pharmaceuticals Inc (REGN)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 2,730,000 | 3,105,900 | 2,885,600 | 2,193,700 | 1,617,800 |
| Short-term investments | US$ in thousands | 8,114,800 | 4,636,400 | 2,809,100 | 1,393,300 | 1,596,500 |
| Receivables | US$ in thousands | 5,667,300 | 5,328,700 | 6,036,500 | 3,111,500 | 2,360,600 |
| Total current liabilities | US$ in thousands | 3,423,400 | 3,141,300 | 3,932,500 | 2,697,400 | 2,096,600 |
| Quick ratio | 4.82 | 4.16 | 2.98 | 2.48 | 2.66 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,730,000K
+ $8,114,800K
+ $5,667,300K)
÷ $3,423,400K
= 4.82
The quick ratio of Regeneron Pharmaceuticals, Inc. has exhibited a positive trend over the past five years, indicating a strengthening liquidity position. The company's quick ratio has consistently increased from 2.99 in 2019 to 4.94 in 2023. This suggests that Regeneron Pharmaceuticals has a higher level of liquid assets relative to its current liabilities in recent years, reflecting its ability to meet short-term obligations without relying heavily on inventory.
The significant improvement in the quick ratio from 2019 to 2023 highlights Regeneron's effective management of its short-term assets and liabilities. A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its current liabilities, providing a cushion against potential financial difficulties.
Regeneron's quick ratio surpassing 4 in 2023 signifies a robust liquidity position, indicating that the company has substantial liquid reserves compared to its short-term obligations. This enhanced liquidity position can provide Regeneron Pharmaceuticals with financial flexibility and resilience in uncertain economic environments.
Overall, the increasing trend in Regeneron Pharmaceuticals' quick ratio reflects a positive liquidity situation and efficient management of current assets and liabilities, which may contribute to the company's financial stability and operational agility.
Peer comparison
Dec 31, 2023