ViaSat Inc (VSAT)

Liquidity ratios

Mar 31, 2025 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
Current ratio 0.00 1.80 1.44 3.08 2.68 2.71 2.62 2.33 2.35 1.47 1.43 1.55 1.50 1.31 1.45 1.52 1.40 1.51 1.67 1.63
Quick ratio 0.96 1.41 1.22 2.49 2.19 2.25 1.69 1.85 1.85 0.65 0.58 0.82 0.87 0.67 0.80 0.86 0.75 0.81 0.96 0.89
Cash ratio 0.96 0.98 1.00 1.68 1.47 1.20 1.27 1.42 1.41 0.21 0.19 0.31 0.40 0.21 0.30 0.37 0.42 0.49 0.56 0.41

Based on the provided data, let's analyze ViaSat Inc's liquidity ratios:

1. Current Ratio: ViaSat's current ratio has shown fluctuations over the years but generally stayed above 1, indicating that the company has had sufficient current assets to cover its short-term liabilities. The ratio peaked at 3.08 on June 30, 2024, indicating a significant improvement in short-term liquidity.

2. Quick Ratio: The quick ratio, also known as the acid-test ratio, measures the company's ability to meet its short-term obligations with its most liquid assets. ViaSat's quick ratio has also shown variability over time, with some periods dropping below 1. However, it improved to 2.49 on June 30, 2024, reflecting a strengthened ability to pay off immediate liabilities without relying on inventory.

3. Cash Ratio: The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents alone. ViaSat's cash ratio has generally been lower compared to the current and quick ratio, indicating reliance on other current assets to meet short-term obligations. However, the ratio increased substantially to 1.68 on June 30, 2024, reflecting a healthier cash position.

Overall, the liquidity ratios of ViaSat Inc exhibit fluctuations over time, but the company has managed to maintain a relatively strong liquidity position. The significant improvements in the current, quick, and cash ratios towards the end of 2024 indicate enhanced short-term liquidity and ability to meet financial obligations efficiently.

Additional liquidity measure

Mar 31, 2025 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
Cash conversion cycle days 34.66 65.83 72.23 80.55 83.89 144.41 66.13 75.72 57.21 42.55 42.29 69.90 70.14 69.74 85.76 88.18 83.30 82.13 77.84 73.85

The cash conversion cycle for ViaSat Inc, a measure of how quickly a company can convert its investments in inventory and other resources into cash flows from sales, has displayed fluctuations over the periods indicated.

From June 2020 to December 2021, the cash conversion cycle showed an increasing trend, reaching a peak of 88.18 days in June 2021. This increase indicates that the company was taking longer to convert its investments into cash during that time frame.

However, starting in September 2021, there was a significant improvement in the cash conversion cycle, with a notable decrease to 42.29 days by September 2022. This improvement suggests that ViaSat Inc became more efficient in managing its working capital and converting its resources into cash during this period.

Despite some fluctuations in the following quarters, with the cycle increasing slightly in some periods, the company managed to maintain a relatively lower cash conversion cycle compared to the previous peaks. By March 2025, the cash conversion cycle had decreased to 46.36 days, indicating that ViaSat Inc was continuing to efficiently manage its working capital and convert investments into cash at a faster rate.

Overall, the trend in the cash conversion cycle for ViaSat Inc suggests that the company made improvements in its working capital management, leading to a more efficient conversion of resources into cash flow over the analyzed periods.