YETI Holdings Inc (YETI)

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 2.18 2.58 2.29 2.35 2.30 2.19 2.09 1.99 1.76 2.34 1.83 1.82 1.91 1.92 1.85 1.84 1.66 2.07 2.80 2.66
Quick ratio 1.26 1.29 1.06 0.94 1.34 1.13 1.03 0.51 0.77 0.28 0.24 0.29 1.04 0.79 0.77 0.75 0.88 1.07 0.97 0.79
Cash ratio 0.95 0.85 0.61 0.58 1.10 0.78 0.65 0.51 0.57 0.28 0.24 0.29 0.77 0.79 0.77 0.75 0.88 1.07 0.97 0.79

YETI Holdings Inc's liquidity ratios indicate its ability to meet short-term obligations and manage its current assets effectively. The current ratio shows a fluctuating trend over the observed periods, generally staying above 1, which is considered acceptable. However, there was a decrease from 2.66 on March 31, 2020, to 1.76 on December 31, 2022, before recovering and reaching 2.30 on December 31, 2023, and 2.18 on December 31, 2024.

The quick ratio, which excludes inventory from current assets, also fluctuates but remains below 1 for the majority of the periods, indicating that a significant portion of current assets is tied up in inventory. The ratio saw a notable drop from 1.04 on December 31, 2021, to 0.29 on March 31, 2022, before gradually improving to 1.26 on December 31, 2024.

The cash ratio, a more stringent measure of liquidity, reflects the ability to pay obligations using only cash and cash equivalents. This ratio follows a similar pattern to the quick ratio, again dropping significantly from 0.77 on December 31, 2021, to 0.29 on March 31, 2022, before climbing back up to 0.95 on December 31, 2024.

Overall, while YETI Holdings Inc's liquidity ratios have exhibited some volatility, the company has maintained a generally healthy liquidity position throughout the periods, with improvements in certain ratios towards the end of the observed timeframe.

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 96.14 137.00 134.20 137.07 95.97 104.20 109.66 107.36 119.36 156.35 152.65 142.02 106.59 65.40 53.08 48.24 13.00 26.75 81.54 105.77

The cash conversion cycle of YETI Holdings Inc fluctuated over the period under consideration. The company's cash conversion cycle represents the time it takes for the company to convert its investments in inventory and other resources into cash flows from sales.

From March 31, 2020, to September 30, 2021, the cash conversion cycle generally decreased, indicating improved efficiency in managing its working capital. However, from December 31, 2021, to September 30, 2022, there was a notable increase in the cash conversion cycle, suggesting challenges in converting investments back into cash.

During the period from March 31, 2023, to June 30, 2024, the cash conversion cycle remained relatively stable around 100 days, with slight fluctuations. The company should assess factors contributing to the cash conversion cycle variations to maintain optimal working capital management and efficiency in its operations.