Sanmina Corporation (SANM)
Quick ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 625,860 | 657,709 | 650,858 | 631,590 | 667,570 | 656,588 | 718,203 | 735,314 | 529,857 | 493,305 | 559,893 | 627,717 | 650,026 | 623,844 | 575,176 | 516,030 | 480,526 | 1,117,220 | 1,114,580 | 430,564 |
| Short-term investments | US$ in thousands | — | — | — | — | 6,000 | — | — | — | — | — | — | — | — | — | — | — | — | 30,000 | — | — |
| Receivables | US$ in thousands | -7,000 | -8,000 | -10,000 | -8,000 | -8,000 | -8,000 | — | -8,000 | -8,000 | — | — | — | -7,000 | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,940,680 | 1,821,560 | 1,847,760 | 1,822,120 | 2,033,330 | 2,157,860 | 2,254,990 | 2,570,600 | 2,471,420 | 2,462,660 | 2,298,020 | 2,096,670 | 1,762,990 | 1,587,360 | 1,418,600 | 1,473,450 | 1,522,590 | 2,213,040 | 2,131,080 | 1,530,130 |
| Quick ratio | 0.32 | 0.36 | 0.35 | 0.34 | 0.33 | 0.30 | 0.32 | 0.28 | 0.21 | 0.20 | 0.24 | 0.30 | 0.36 | 0.39 | 0.41 | 0.35 | 0.32 | 0.52 | 0.52 | 0.28 |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($625,860K
+ $—K
+ $-7,000K)
÷ $1,940,680K
= 0.32
The quick ratio of Sanmina Corporation has been relatively volatile over the past few years, ranging from as low as 0.20 to as high as 0.52. The quick ratio measures the company's ability to meet its short-term liabilities with its most liquid assets, excluding inventory. A quick ratio below 1.0 may indicate potential liquidity concerns as the company may struggle to meet its short-term obligations.
The trend in Sanmina's quick ratio shows some fluctuations over the periods provided. It has experienced some improvement in liquidity from 0.20 in June 2022 to 0.52 in March 2020, suggesting a stronger ability to cover short-term obligations with liquid assets during this period. Conversely, the quick ratio dropped to 0.21 in September 2022, indicating a potential liquidity strain at that particular point in time.
The quick ratio of 0.32 as of September 30, 2024, remains below 1.0, which could be a cause for concern regarding the company's short-term liquidity position. Investors and stakeholders may want to monitor Sanmina's ability to improve its quick ratio over the upcoming periods to ensure the company can efficiently meet its short-term obligations without facing liquidity challenges.
Peer comparison
Sep 30, 2024