US Physicalrapy Inc (USPH)

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 2.28 2.77 2.82 1.30 1.30 1.39 1.43 1.08 1.14 0.97 1.06 0.83 0.94 0.89 1.05 2.09 1.41 1.47 1.88 1.18
Quick ratio 2.00 2.48 2.55 1.01 1.01 1.10 1.16 0.83 0.91 0.80 0.87 0.70 0.80 0.75 0.91 1.86 1.15 1.19 1.40 1.00
Cash ratio 1.50 1.84 1.91 0.39 0.40 0.49 0.57 0.27 0.34 0.23 0.27 0.20 0.35 0.32 0.50 1.26 0.39 0.44 0.61 0.29

The liquidity ratios of U.S. Physical Therapy, Inc. show a favorable trend over the quarters in terms of current ratio, quick ratio, and cash ratio.

The current ratio, which measures the company's ability to pay off its short-term liabilities with current assets, has improved steadily from 1.08 in Q1 2022 to 2.28 in Q4 2023. This indicates that the company's liquidity position has strengthened over time.

Similarly, the quick ratio, which excludes inventory from current assets in the calculation, also shows a positive trend, increasing from 1.08 in Q1 2022 to 2.28 in Q4 2023. This suggests that the company has a strong ability to cover its immediate liabilities with its most liquid assets.

The cash ratio, which provides the most conservative measure of liquidity by considering only cash and cash equivalents to cover current liabilities, has shown significant improvement as well, rising from 0.32 in Q1 2022 to 1.60 in Q4 2023. This indicates that the company has increased its cash reserves relative to its short-term obligations.

Overall, the liquidity ratios of U.S. Physical Therapy, Inc. reflect a positive liquidity position and a strengthening financial position over the quarters, indicating improved ability to meet its short-term financial obligations.

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 28.36 29.21 31.22 32.87 31.54 29.72 31.59 32.00 32.07 33.20 33.24 36.64 34.38 32.66 28.27 29.68 32.55 32.94 31.96 36.07

The cash conversion cycle of U.S. Physical Therapy, Inc. has shown fluctuations over the past eight quarters. The company's ability to convert its resources and investments into cash has gradually improved from Q1 2022, where it reached a peak of 47.95 days, to Q4 2023, where it decreased to 42.08 days. This indicates that the company has become more efficient in managing its working capital and converting inventory and receivables into cash during the most recent quarter.

However, it is worth noting that the cash conversion cycle has seen some volatility throughout the quarters, with slight fluctuations in each period. This could be attributed to various factors such as changes in sales volume, inventory management practices, and the efficiency of accounts receivable collection processes.

Overall, the downward trend in the cash conversion cycle over the quarters suggests that U.S. Physical Therapy, Inc. has been actively working on improving its cash flow management and operational efficiency. Monitoring this metric going forward will be essential to assess the company's financial health and working capital management effectiveness.