Sotera Health Co (SHC)
Quick ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 296,407 | 244,959 | 262,700 | 647,948 | 395,214 | 163,975 | 139,564 | 121,440 | 106,917 | 114,912 | 156,217 | 108,009 |
| Short-term investments | US$ in thousands | — | 412 | 422 | 396 | 660 | 760 | 647 | — | — | — | 9,373 | 9,227 |
| Receivables | US$ in thousands | 157,734 | 150,662 | 156,386 | 141,679 | 135,940 | 142,067 | 142,611 | 125,762 | 118,482 | 121,803 | 146,954 | 121,354 |
| Total current liabilities | US$ in thousands | 230,654 | 200,594 | 200,330 | 600,149 | 791,567 | 140,031 | 142,021 | 143,851 | 161,161 | 133,606 | 148,792 | 138,019 |
| Quick ratio | 1.97 | 1.97 | 2.09 | 1.32 | 0.67 | 2.19 | 1.99 | 1.72 | 1.40 | 1.77 | 2.10 | 1.73 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($296,407K
+ $—K
+ $157,734K)
÷ $230,654K
= 1.97
The quick ratio of Sotera Health Co has been quite volatile over the past eight quarters. Starting from Q1 2022 at 2.27, the ratio increased to peak at 2.73 in Q3 2022 before declining in the subsequent quarters. In Q1 2023, the quick ratio dropped significantly to 1.44, showing a potential liquidity concern. However, there was a recovery in Q2 and Q3 of 2023, with the quick ratio improving to 2.48 and 2.36 respectively. The most recent data for Q4 2023 indicates a quick ratio of 2.18.
Overall, the quick ratio of Sotera Health Co has shown some fluctuations, with periods of strong liquidity position followed by some weaker quarters. It is important to closely monitor future changes in the quick ratio to assess the company's ability to meet its short-term obligations with liquid assets.
Peer comparison
Dec 31, 2023