Sitime Corporation (SITM)

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	Dec 31, 2020	Sep 30, 2020
Cash	US$ in thousands	9,468	16,711	30,375	38,265	34,603	41,608	580,291	571,454	559,461	267,042	253,538	256,952	73,525	69,208
Short-term investments	US$ in thousands	518,733	551,398	544,299	537,818	529,494	522,178	—	—	—	—	—	—	—	—
Receivables	US$ in thousands	21,861	25,182	15,769	21,464	41,229	44,896	38,724	30,651	38,376	32,471	27,681	23,190	24,656	17,962
Total current liabilities	US$ in thousands	121,394	31,280	30,462	25,206	33,794	35,004	43,617	34,073	37,385	33,436	23,739	21,740	19,145	17,565
Quick ratio		4.53	18.97	19.38	23.71	17.91	17.39	14.19	17.67	15.99	8.96	11.85	12.89	5.13	4.96

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($9,468K + $518,733K + $21,861K) ÷ $121,394K
= 4.53

The quick ratio of SiTime Corp has been relatively stable over the past eight quarters, ranging from 4.59 to 24.06. A quick ratio above 1 indicates that the company has more than enough liquid assets to cover its current liabilities.

In Q1 2023, the quick ratio was at its lowest at 4.59, implying that the company may have had some challenges in meeting its short-term obligations with its highly liquid assets. However, this improved significantly in the following quarters, reaching its peak in Q1 2023 at 24.06.

Overall, the company's quick ratio indicates a strong ability to meet its short-term financial obligations with its quickly realizable assets. The increasing trend in the quick ratio over the quarters suggests an improvement in the company's liquidity position and ability to cover its current liabilities comfortably.