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Vimicro International (FRA:V7I) Quick Ratio : 1.64 (As of Jun. 2015)


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What is Vimicro International Quick Ratio?

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Vimicro International's quick ratio for the quarter that ended in Jun. 2015 was 1.64.

Vimicro International has a quick ratio of 1.64. It generally indicates good short-term financial strength.

The historical rank and industry rank for Vimicro International's Quick Ratio or its related term are showing as below:

FRA:V7I' s Quick Ratio Range Over the Past 10 Years
Min: 1.21   Med: 5.79   Max: 17.09
Current: 1.64

During the past 13 years, Vimicro International's highest Quick Ratio was 17.09. The lowest was 1.21. And the median was 5.79.

FRA:V7I's Quick Ratio is not ranked
in the Semiconductors industry.
Industry Median: 1.81 vs FRA:V7I: 1.64

Vimicro International Quick Ratio Historical Data

The historical data trend for Vimicro International's Quick Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Vimicro International Quick Ratio Chart

Vimicro International Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.73 2.79 2.35 1.84 1.21

Vimicro International Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.65 1.63 1.21 1.52 1.64

Competitive Comparison of Vimicro International's Quick Ratio

For the Semiconductors subindustry, Vimicro International's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Vimicro International's Quick Ratio Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Vimicro International's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Vimicro International's Quick Ratio falls into.



Vimicro International Quick Ratio Calculation

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.

Vimicro International's Quick Ratio for the fiscal year that ended in Dec. 2014 is calculated as

Quick Ratio (A: Dec. 2014 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(141.145-11.126)/107.574
=1.21

Vimicro International's Quick Ratio for the quarter that ended in Jun. 2015 is calculated as

Quick Ratio (Q: Jun. 2015 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(179.779-13.557)/101.178
=1.64

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Vimicro International  (FRA:V7I) Quick Ratio Explanation

The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.

In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.

The higher the quick ratio, the better the company's liquidity position.


Vimicro International Quick Ratio Related Terms

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Vimicro International (FRA:V7I) Business Description

Traded in Other Exchanges
N/A
Address
Vimicro International is one of China's leading semiconductor design companies. The firm makes mixed-signal multimedia chips used in PC, embedded notebook webcams, mobile phones, and video cameras. The firm recently launched a surveillance segment that provides comprehensive security systems to customers, bundling its chips with other hardware, software, and nonsoftware acquired from third party vendors. The company was founded in 1999.

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