UnitedHealth Group Incorporated (UNH)

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 0.83 0.91 0.88 0.85 0.79 0.80 0.80 0.81 0.77 0.82 0.77 0.78 0.79 0.77 0.77 0.74 0.74 0.82 0.84 0.75
Quick ratio 0.28 0.37 0.30 0.31 0.30 0.39 0.82 0.40 0.31 0.42 0.32 0.32 0.31 0.30 0.29 0.28 0.27 0.31 0.37 0.31
Cash ratio 0.28 0.37 0.30 0.31 0.30 0.39 0.82 0.40 0.31 0.42 0.32 0.32 0.31 0.30 0.29 0.28 0.27 0.31 0.37 0.31

UnitedHealth Group's liquidity ratios have shown varying trends over the reported periods. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, fluctuated between 0.74 to 0.91. The ratio generally stayed below 1, indicating potential liquidity concerns as the company may have had difficulty meeting its short-term obligations.

In terms of the quick ratio, which excludes inventory from current assets, the company's ability to cover its current liabilities improved slightly from 0.27 to 0.37 over the periods, but was still relatively low. This suggests that UnitedHealth Group may have had limited ability to cover its short-term obligations with its most liquid assets.

The cash ratio, which measures the company's ability to cover its current liabilities using only its cash and cash equivalents, displayed a similar trend to the quick ratio, indicating a relatively low ability to pay off short-term obligations solely with cash on hand.

Overall, UnitedHealth Group's liquidity ratios suggest that the company may have faced challenges in maintaining a strong liquidity position over the reported periods, potentially indicating a need for improved management of its short-term financial obligations.

See also:

UnitedHealth Group Incorporated Liquidity Ratios (Quarterly Data)

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 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

The data provided shows that UnitedHealth Group Incorporated has consistently maintained a cash conversion cycle of 0.00 days for all the reported periods from March 31, 2020, to December 31, 2024. A cash conversion cycle of 0.00 days indicates that the company is able to efficiently manage its working capital, swiftly converting its investments into cash without any significant delay. This efficiency suggests that UnitedHealth Group has optimized its operational processes related to managing cash, inventory, and receivables effectively, which is a positive sign of financial health and liquidity management. A low or zero cash conversion cycle is usually indicative of streamlined operations and effective cash flow management strategies, which can contribute to the company's overall financial stability and performance.