Xencor Inc (XNCR)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 53,790 | 53,942 | 143,480 | 163,544 | 50,312 |
| Short-term investments | US$ in thousands | 539,935 | 569,120 | 190,627 | 439,459 | 479,470 |
| Receivables | US$ in thousands | 13,590 | 30,297 | 67,184 | 12,843 | 22,076 |
| Total current liabilities | US$ in thousands | 84,709 | 63,844 | 70,738 | 121,061 | 66,558 |
| Quick ratio | 7.17 | 10.23 | 5.67 | 5.09 | 8.29 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($53,790K
+ $539,935K
+ $13,590K)
÷ $84,709K
= 7.17
The quick ratio of Xencor Inc has shown fluctuations over the past five years, ranging from 5.27 to 10.58. The quick ratio indicates the company's ability to meet its short-term obligations with its most liquid assets.
A quick ratio above 1 implies that the company has sufficient liquid assets to cover its short-term liabilities. Xencor's quick ratio has consistently been well above 1, indicating a strong liquidity position.
The significant increase in the quick ratio from 2020 to 2021 and then a decrease in 2023 could be attributed to changes in the composition of current assets and liabilities. It is essential to further analyze the components of the quick ratio, such as cash, marketable securities, and accounts payable, to gain a deeper understanding of Xencor's liquidity management.
Overall, Xencor Inc's quick ratio demonstrates a healthy liquidity position, suggesting that the company can easily meet its short-term financial obligations without relying heavily on inventory or slow-moving assets.
Peer comparison
Dec 31, 2023