Uber Technologies Inc (UBER)
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 | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 1.19 | 1.14 | 1.23 | 1.06 | 1.04 | 1.04 | 0.98 | 1.00 | 0.98 | 1.19 | 1.01 | 1.14 | 1.44 | 1.36 | 1.64 | 1.68 | 2.47 | 2.82 | 2.57 | 1.68 |
| Quick ratio | 1.01 | 0.94 | 1.02 | 0.86 | 0.88 | 0.88 | 0.84 | 0.84 | 0.81 | 1.03 | 0.88 | 1.00 | 1.22 | 1.22 | 1.50 | 1.53 | 2.30 | 4.62 | 4.31 | 1.55 |
| Cash ratio | 0.57 | 0.55 | 0.64 | 0.48 | 0.49 | 0.54 | 0.49 | 0.48 | 0.48 | 0.80 | 0.65 | 0.78 | 0.99 | 1.05 | 1.32 | 1.36 | 2.01 | 4.29 | 3.98 | 1.22 |
The liquidity ratios of Uber Technologies Inc indicate the company's ability to meet its short-term obligations and cover immediate financial needs.
1. Current ratio: The trend of Uber's current ratio shows a fluctuating pattern. The ratio has improved in Q4 2023 compared to the previous quarters, indicating a better ability to meet current liabilities with current assets. However, the ratio remains close to 1, suggesting a relatively tight liquidity position.
2. Quick ratio: Uber's quick ratio has also shown variability over the quarters. Although there was an increase in Q4 2023, the company's ability to cover short-term obligations with its most liquid assets excluding inventory still appears limited. The quick ratio is slightly above 1 in the last quarter, indicating a comparatively improved liquidity position.
3. Cash ratio: The cash ratio of Uber has fluctuated over the quarters, with a slight increase in Q4 2023. The ability of the company to cover its current liabilities with cash and cash equivalents has improved but remains relatively low. The cash ratio below 1 in all quarters indicates that a significant portion of the current liabilities would be difficult to cover with cash alone.
Overall, Uber's liquidity ratios suggest that while the company has shown some improvement in liquidity position in Q4 2023, there is still room for enhancement to ensure a more robust ability to meet short-term obligations and financial needs.
See also:
Uber Technologies Inc Liquidity Ratios (Quarterly Data)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 30.75 | 37.67 | 36.37 | 37.65 | 39.33 | 49.58 | 53.03 | 64.56 | 57.71 | 50.07 | 46.49 | 55.14 | 66.09 | 37.58 | 28.50 | 31.95 | 41.97 |
The cash conversion cycle of Uber Technologies Inc has shown some fluctuations over the past eight quarters. It measures the average number of days it takes the company to convert its investments in inventory and other resources into cash received from sales.
In Q4 2023, the cash conversion cycle increased to 27.51 days from 23.81 days in Q3 2023. This indicates that Uber took longer to convert its investments into cash compared to the previous quarter. However, it was still lower than the cycle observed in Q4 2022, which was 26.43 days.
Looking at the trend over the past quarters, there was a general improvement in the cash conversion cycle from Q1 2022 to Q2 2023, with the cycle reaching a low of 21.82 days in Q2 2023. This suggests that Uber was more efficient in managing its working capital during this period. However, there was a slight increase in the cycle in Q4 2023, warranting a closer examination of the company's cash management practices.
Overall, Uber Technologies Inc has displayed fluctuations in its cash conversion cycle, indicating varying levels of efficiency in converting its investments into cash. It is important for the company to monitor and manage its working capital effectively to ensure optimal cash flow and liquidity.