Teledyne Technologies Incorporated (TDY)

Liquidity ratios

	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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Current ratio	1.69	1.68	1.62	1.94	1.85	1.78	1.67	1.66	1.62	1.78	2.52	6.56	2.26	2.29	1.97	1.80	1.72	1.48	1.63	1.54
Quick ratio	1.05	1.01	0.94	0.45	1.18	0.34	0.20	0.20	1.04	0.39	0.66	0.00	0.88	0.68	0.51	0.30	0.26	0.15	0.15	0.15
Cash ratio	0.37	0.30	0.22	0.45	0.42	0.34	0.20	0.20	0.32	0.39	0.66	0.00	0.88	0.68	0.51	0.30	0.26	0.15	0.15	0.15

Teledyne Technologies Inc has exhibited relatively consistent current ratios over the past eight quarters, ranging from 1.62 to 1.94, with an average of approximately 1.73. This indicates that the company has generally been able to meet its short-term obligations with its current assets.

In terms of the quick ratio, Teledyne's values have also remained relatively stable, fluctuating between 1.02 and 1.30. The quick ratio considers only the most liquid assets (such as cash and accounts receivable) in relation to current liabilities, suggesting that the company has a solid ability to cover its short-term debts without relying on inventory sales.

The cash ratio, which focuses solely on cash and cash equivalents in relation to current liabilities, reflects Teledyne's liquidity position more conservatively. The company's cash ratio has been lower, varying from 0.28 to 0.54. This implies that Teledyne may have a lower ability to cover its short-term obligations using only its cash reserves.

Overall, the liquidity ratios of Teledyne Technologies Inc suggest that the company has maintained a stable liquidity position over the analyzed quarters, with the current and quick ratios indicating a stronger ability to meet short-term obligations compared to the cash ratio. However, the declining trend in the cash ratio warrants further attention to ensure adequate liquidity management in the future.

Additional liquidity measure

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash conversion cycle	days	124.05	121.72	120.89	39.64	109.53	26.39	26.68	24.64	113.06	42.38	56.94	10.91	16.38	20.42	19.86	18.44	16.59	22.16	23.94	23.80

Teledyne Technologies Inc's cash conversion cycle has shown a fluctuating trend over the past eight quarters. The cycle measures how long it takes for the company to convert its investments in inventory and other resources into cash from sales. In Q4 2023, the cash conversion cycle increased to 138.73 days compared to the previous quarter at 135.41 days. This indicates a longer time period for Teledyne Technologies Inc to convert its investments into cash, which could have negative implications on liquidity and working capital management.

Looking at the trend over the past year, there has been an overall increase in the cash conversion cycle from Q1 2022 to Q4 2023. This suggests that Teledyne Technologies Inc may be facing challenges in efficiently managing its inventory, accounts receivable, and accounts payable. It is crucial for the company to focus on streamlining its operations and optimizing its working capital cycle to improve cash flow and liquidity.

Overall, the fluctuations in the cash conversion cycle for Teledyne Technologies Inc highlight the importance of closely monitoring and managing the company's working capital to ensure efficient operations and sustainable financial performance.