Sarepta Therapeutics Inc (SRPT)
Liquidity ratios
| Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 4.20 | 3.84 | 3.90 | 4.05 | 3.95 | 5.44 | 4.96 | 4.63 | 4.13 | 4.36 | 4.53 | 5.56 | 5.75 | 5.85 | 5.33 | 6.23 | 5.97 | 6.14 | 6.93 | 8.31 |
| Quick ratio | 1.85 | 1.71 | 2.12 | 2.28 | 2.56 | 3.85 | 3.73 | 3.51 | 3.21 | 3.44 | 3.53 | 4.43 | 4.67 | 4.28 | 4.06 | 4.76 | 4.66 | 4.80 | 5.81 | 7.09 |
| Cash ratio | 1.85 | 1.71 | 2.12 | 2.28 | 2.56 | 3.85 | 3.73 | 3.51 | 3.21 | 3.44 | 3.53 | 4.43 | 4.67 | 4.28 | 4.06 | 4.76 | 4.66 | 4.80 | 5.81 | 7.09 |
The current ratio of Sarepta Therapeutics Inc has decreased from 8.31 as of March 31, 2020, to 4.20 as of December 31, 2024. This indicates that the company's ability to cover its short-term obligations with its current assets has declined over the period.
The quick ratio, which provides a more stringent measure of liquidity by excluding inventory from current assets, also shows a decreasing trend from 7.09 on March 31, 2020, to 1.85 on December 31, 2024. This suggests that Sarepta may face difficulties in meeting its immediate liabilities without relying on inventory.
The cash ratio, which is the most conservative liquidity ratio as it considers only cash and cash equivalents to cover current liabilities, shows a similar decreasing trend from 7.09 on March 31, 2020, to 1.85 on December 31, 2024. This implies that Sarepta's ability to meet its short-term obligations solely based on cash position has weakened over the period.
Overall, the downward trends in the current, quick, and cash ratios for Sarepta Therapeutics Inc indicate a declining liquidity position, potentially signaling challenges in meeting short-term financial obligations without relying on inventory or raising additional funds. Investors and stakeholders should closely monitor these liquidity ratios to assess the company's ability to manage its short-term financial obligations effectively.
Additional liquidity measure
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 835.02 | 861.79 | 958.33 | 821.89 | 783.83 | 650.26 | 591.95 | 515.29 | 531.82 | 572.86 | 610.44 | 684.28 | 700.34 | 1,200.46 | 1,237.34 | 1,199.92 | 1,335.80 | 1,420.87 | 1,201.68 | 1,106.07 |
The cash conversion cycle of Sarepta Therapeutics Inc has shown fluctuations over the years based on the provided data. The cycle measures the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
From March 31, 2020, to December 31, 2021, the company experienced a rising trend in its cash conversion cycle length, indicating potential inefficiencies in managing its working capital. However, starting from March 31, 2022, there was a significant improvement in the cycle, with a notable decrease observed quarter over quarter.
The decreasing trend in the cash conversion cycle from 2022 to 2024 suggests that the company has been able to streamline its operations and improve its efficiency in managing inventory, accounts receivable, and accounts payable. This could imply better control over the timing of cash inflows and outflows, leading to a stronger financial position for the company.
Overall, a declining cash conversion cycle reflects improved liquidity and operational efficiency for Sarepta Therapeutics Inc, indicating a positive development in its working capital management.