Revvity Inc. (RVTY)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	913,163	454,358	603,320	387,054	191,877
Short-term investments	US$ in thousands	689,916	0	14,999	14,982	—
Total current liabilities	US$ in thousands	1,450,460	1,544,480	1,213,740	1,652,190	762,832
Cash ratio		1.11	0.29	0.51	0.24	0.25

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($913,163K + $689,916K) ÷ $1,450,460K
= 1.11

The cash ratio of Revvity Inc. has shown fluctuation over the past five years. In particular, the cash ratio has ranged from 0.34 to 1.34 during this period.

The cash ratio indicates the company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio suggests that the company has a stronger ability to meet its short-term obligations using its cash on hand.

Revvity Inc.'s cash ratio of 1.34 as of December 31, 2023, indicates a significant improvement compared to the previous years. This could suggest that the company has increased its liquidity position relative to its short-term liabilities. However, it is essential to investigate further to understand the reasons behind this improvement.

On the other hand, the lower cash ratios in previous years, such as 0.34 in January 3, 2021, and 0.37 in Jan 1, 2023, may indicate potential liquidity challenges or a limited ability to cover short-term obligations with available cash during those periods.

Overall, monitoring the trend of Revvity Inc.'s cash ratio over time and comparing it with industry benchmarks can provide valuable insights into the company's liquidity position and financial health.