Microsoft Excel LibreOffice Calc

Liquidity Analysis

Difficulty: Beginner


Ratios (Summary)

Eli Lilly & Co., liquidity ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Current ratio 1.32 1.37 1.53 1.09 1.47
Quick ratio 0.91 0.98 1.04 0.77 1.06
Cash ratio 0.55 0.55 0.54 0.43 0.61

Source: Based on data from Eli Lilly & Co. Annual Reports

Ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Eli Lilly & Co.'s current ratio deteriorated from 2015 to 2016 and from 2016 to 2017.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Eli Lilly & Co.'s quick ratio deteriorated from 2015 to 2016 and from 2016 to 2017.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Eli Lilly & Co.'s cash ratio improved from 2015 to 2016 and from 2016 to 2017.

Current Ratio

Eli Lilly & Co., current ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (USD $ in thousands)
Current assets 19,202,100  15,101,400  12,573,600  12,179,800  13,104,700 
Current liabilities 14,535,900  10,986,600  8,229,600  11,207,500  8,916,600 
Ratio
Current ratio1 1.32 1.37 1.53 1.09 1.47
Benchmarks
Current Ratio, Competitors
Abbott Laboratories 2.26 4.02 1.54 1.45 2.02
AbbVie Inc. 1.28 1.65 1.50 1.41 2.59
Allergan PLC 1.16 2.27 1.03 1.37 1.35
Amgen Inc. 5.49 4.11 4.44 4.95 3.44
Biogen Inc. 2.34 2.55 2.60 2.11 1.81
Bristol-Myers Squibb Co. 1.55 1.55 1.30 1.73 1.52
Celgene Corp. 4.99 3.67 4.77 4.60 3.88
Gilead Sciences Inc. 2.74 2.22 2.50 3.07 1.15
Johnson & Johnson 1.41 2.47 2.17 2.36 2.20
Merck & Co. Inc. 1.33 1.78 1.55 1.77 2.00
Pfizer Inc. 1.35 1.25 1.49 2.67 2.41
Regeneron Pharmaceuticals Inc. 3.82 2.56 3.59 3.31 6.01
Current Ratio, Sector
Pharmaceuticals & Biotechnology 1.82 2.14 1.92 2.19 2.13
Current Ratio, Industry
Health Care 1.52 1.75 1.65 1.84 1.89

Source: Based on data from Eli Lilly & Co. Annual Reports

2017 Calculations

1 Current ratio = Current assets ÷ Current liabilities
= 19,202,100 ÷ 14,535,900 = 1.32

Ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Eli Lilly & Co.'s current ratio deteriorated from 2015 to 2016 and from 2016 to 2017.

Quick Ratio

Eli Lilly & Co., quick ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (USD $ in thousands)
Cash and cash equivalents 6,536,200  4,582,100  3,666,400  3,871,600  3,830,200 
Short-term investments 1,497,900  1,456,500  785,400  955,400  1,567,100 
Accounts receivable, net of allowances 4,546,300  4,029,400  3,513,000  3,234,600  3,434,400 
Other receivables 715,900  736,900  558,600  566,700  588,400 
Total quick assets 13,296,300  10,804,900  8,523,400  8,628,300  9,420,100 
Current liabilities 14,535,900  10,986,600  8,229,600  11,207,500  8,916,600 
Ratio
Quick ratio1 0.91 0.98 1.04 0.77 1.06
Benchmarks
Quick Ratio, Competitors
Abbott Laboratories 1.67 3.31 1.04 0.76 1.27
AbbVie Inc. 0.89 1.14 1.21 1.06 2.00
Allergan PLC 0.95 2.00 0.42 0.52 0.53
Amgen Inc. 4.98 3.68 3.97 4.22 2.78
Biogen Inc. 1.78 1.94 1.93 1.54 1.31
Bristol-Myers Squibb Co. 1.30 1.27 1.05 1.26 0.61
Celgene Corp. 4.67 3.24 4.05 4.13 3.47
Gilead Sciences Inc. 2.52 1.78 2.07 2.56 0.67
Johnson & Johnson 1.04 2.04 1.77 1.76 1.59
Merck & Co. Inc. 0.83 1.24 1.04 1.19 1.38
Pfizer Inc. 0.93 0.84 1.07 2.07 1.79
Regeneron Pharmaceuticals Inc. 2.98 2.13 3.10 2.93 5.52
Quick Ratio, Sector
Pharmaceuticals & Biotechnology 1.42 1.69 1.48 1.63 1.50
Quick Ratio, Industry
Health Care 1.18 1.38 1.28 1.38 1.35

Source: Based on data from Eli Lilly & Co. Annual Reports

2017 Calculations

1 Quick ratio = Total quick assets ÷ Current liabilities
= 13,296,300 ÷ 14,535,900 = 0.91

Ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Eli Lilly & Co.'s quick ratio deteriorated from 2015 to 2016 and from 2016 to 2017.

Cash Ratio

Eli Lilly & Co., cash ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014 Dec 31, 2013
Selected Financial Data (USD $ in thousands)
Cash and cash equivalents 6,536,200  4,582,100  3,666,400  3,871,600  3,830,200 
Short-term investments 1,497,900  1,456,500  785,400  955,400  1,567,100 
Total cash assets 8,034,100  6,038,600  4,451,800  4,827,000  5,397,300 
Current liabilities 14,535,900  10,986,600  8,229,600  11,207,500  8,916,600 
Ratio
Cash ratio1 0.55 0.55 0.54 0.43 0.61
Benchmarks
Cash Ratio, Competitors
Abbott Laboratories 1.08 2.82 0.67 0.42 0.85
AbbVie Inc. 0.59 0.66 0.77 0.73 1.44
Allergan PLC 0.65 1.68 0.13 0.05 0.10
Amgen Inc. 4.62 3.40 3.62 3.86 2.44
Biogen Inc. 1.10 1.43 1.33 0.83 0.70
Bristol-Myers Squibb Co. 0.71 0.72 0.53 0.88 0.36
Celgene Corp. 4.03 2.69 3.33 3.57 2.92
Gilead Sciences Inc. 2.19 1.29 1.48 1.76 0.34
Johnson & Johnson 0.60 1.59 1.38 1.32 1.14
Merck & Co. Inc. 0.46 0.83 0.70 0.84 0.98
Pfizer Inc. 0.66 0.57 0.79 1.67 1.39
Regeneron Pharmaceuticals Inc. 1.24 0.84 1.29 1.38 2.32
Cash Ratio, Sector
Pharmaceuticals & Biotechnology 1.03 1.29 1.08 1.21 1.08
Cash Ratio, Industry
Health Care 0.80 0.97 0.89 0.98 0.95

Source: Based on data from Eli Lilly & Co. Annual Reports

2017 Calculations

1 Cash ratio = Total cash assets ÷ Current liabilities
= 8,034,100 ÷ 14,535,900 = 0.55

Ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Eli Lilly & Co.'s cash ratio improved from 2015 to 2016 and from 2016 to 2017.