Vir Biotechnology Inc (VIR)

Quick ratio

		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	US$ in thousands	222,947	257,948	310,810	174,046	254,844	452,100	666,949	824,913	848,631	963,735	1,505,180	812,355	347,815	714,521	741,951	521,396	436,575	462,521	371,781	168,418
Short-term investments	US$ in thousands	682,401	746,124	854,201	989,052	1,280,830	1,244,450	1,180,480	1,425,160	1,553,410	1,382,750	690,520	447,719	360,330	224,929	84,107	211,636	300,286	364,074	180,599	187,193
Receivables	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	119,662	117,161	96,412	94,068	175,407	165,050	225,623	485,288	511,029	308,203	477,868	702,361	341,242	233,724	146,024	361,099	99,064	76,998	54,940	56,396
Quick ratio		7.57	8.57	12.08	12.36	8.75	10.28	8.19	4.64	4.70	7.61	4.59	1.79	2.08	4.02	5.66	2.03	7.44	10.74	10.05	6.31

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($222,947K + $682,401K + $—K) ÷ $119,662K
= 7.57

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

Looking at the quick ratio of Vir Biotechnology Inc from March 31, 2020, to December 31, 2024, we can observe fluctuations in the company's ability to cover its short-term liabilities with its liquid assets. The ratio started at a high level of 6.31 on March 31, 2020, which indicates a strong liquidity position. Subsequently, the ratio increased notably, reaching a peak of 12.36 on March 31, 2024, indicating a substantial improvement in the company's ability to meet short-term obligations.

However, from there, the quick ratio gradually decreased to 7.57 on December 31, 2024. Though the ratio remained above 1 during the entire period, the downward trend suggests a potential decrease in the company's ability to cover short-term liabilities with liquid assets.

Overall, while the quick ratio of Vir Biotechnology Inc fluctuated over the analyzed period, it generally remained at healthy levels above 1, reflecting the company's ability to meet its short-term obligations with its liquid assets.