Teleflex Incorporated (TFX)

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	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash	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	—	—	—	—	—	—	—	—	—	—	—	—	—
Receivables	US$ in thousands	443,467	425,194	429,309	—	408,834	391,251	415,297	407,159	383,569	399,744	414,195	401,112	395,071	390,476	374,886	441,714	418,673	396,663	382,142	375,756
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
Quick ratio		1.10	2.35	1.30	0.55	1.29	1.34	1.22	1.33	1.22	1.57	1.47	1.43	1.43	1.55	2.03	2.11	1.28	1.23	1.39	1.24

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($222,848K + $—K + $443,467K) ÷ $606,745K
= 1.10

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities.

Teleflex Incorporated's quick ratio has varied over the past eight quarters. In Q3 2023, the quick ratio was exceptionally high at 2.51, indicating a strong ability to cover short-term obligations. This significant increase from the previous quarter suggests improved liquidity.

In contrast, the quick ratio dropped to 1.29 in Q4 2023, which is below the industry standard of 1. This decrease may raise concerns about the company's ability to meet its short-term liabilities.

Overall, while Teleflex's quick ratio has shown fluctuations, it is crucial for investors and stakeholders to monitor these changes to assess the company's liquidity position and financial health.