Teleflex Incorporated (TFX)

Cash 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	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash and cash equivalents	US$ in thousands	222,848	881,499	250,816	264,138	292,034	397,259	308,121	466,656	445,084	481,167	361,781	324,631	375,880	347,480	553,535	406,477	301,083	257,544	303,896	271,212
Short-term investments	US$ in thousands	—	67,500	41,906	52,526	48,503	28,536	22,034	—	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	606,745	585,422	555,449	575,712	581,492	610,943	610,446	656,200	680,119	562,210	526,848	508,053	540,027	475,247	456,615	402,300	563,055	530,363	493,892	520,916
Cash ratio		0.37	1.62	0.53	0.55	0.59	0.70	0.54	0.71	0.65	0.86	0.69	0.64	0.70	0.73	1.21	1.01	0.53	0.49	0.62	0.52

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($222,848K + $—K) ÷ $606,745K
= 0.37

The cash ratio of Teleflex Incorporated has fluctuated over the past eight quarters, ranging from a low of 0.56 in Q4 2023 to a high of 1.79 in Q3 2023. The ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger liquidity position, as the company has more cash readily available to meet its obligations.

The significant increase in the cash ratio from Q4 2023 to Q3 2023 suggests that Teleflex's cash and cash equivalents relative to its current liabilities improved substantially during that period. However, the subsequent decrease in Q2 2023 and Q1 2023 indicates a potential decrease in liquidity.

Overall, the company's cash ratio has been relatively healthy, consistently above 0.5 over the past eight quarters. Analysts may want to further investigate the reasons behind the fluctuations in the cash ratio to assess Teleflex's liquidity management and financial health accurately.