What is Farfetch Cash, Cash Equivalents, Marketable Securities?
Farfetch‘s quarterly cash, cash equivalents, marketable securities
declined
from Dec. 2022 (€693.11 Mil) to Mar. 2023 (€453.85 Mil) but then
stayed the same
from Mar. 2023 (€453.85 Mil) to Jun. 2023 (€418.88 Mil).
Farfetch‘s annual cash, cash equivalents, marketable securities
increased
from Dec. 2020 (€1,293.35 Mil) to Dec. 2021 (€1,294.84 Mil) but then
declined
from Dec. 2021 (€1,294.84 Mil) to Dec. 2022 (€693.11 Mil).
Farfetch Cash, Cash Equivalents, Marketable Securities Historical Data
The historical data trend for Farfetch‘s Cash, Cash Equivalents, Marketable Securities 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.
Farfetch Cash, Cash Equivalents, Marketable Securities Chart
Farfetch Cash, Cash Equivalents, Marketable Securities Calculation
Cash and cash equivalents are the most liquid assets on the balance sheet. Cash equivalents are assets that are readily convertible into cash, such as money market holdings, short-term government bonds or Treasury bills, marketable securities and commercial paper.
Marketable Securities are very liquid securities that can be converted into cash quickly at a reasonable price.
Marketable securities are very liquid as they tend to have maturities of less than one year. Furthermore, the rate at which these securities can be bought or sold has little effect on their prices.
A high number means either:
1) The company has competitive advantage generating lots of cash
2) Just sold a business or bonds (not necessarily good)
A low stockpile of cash usually means poor to mediocre economics.
There are 3 ways to create large cash reserve.
1) Sell new bonds or equity to public
2) Sell business or asset
3) It has an ongoing business generating more cash than it burns (usually means durable competitive advantage)
When a company is suffering a short term problem, Buffett looks at cash or marketable securities to see whether it has the financial strength to ride it out.
Important: Lots of cash and marketable securities + little debt = good chance that the business will sail on through tough times.
Test to see what is creating cash by looking at past 7 yrs of balance sheets. This will reveal how the cash was created.
Farfetch Cash, Cash Equivalents, Marketable Securities Related Terms
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Farfetch Business Description
Traded in Other Exchanges
Address
The Bower, 211 Old Street, London, GBR, EC1V 9NR
Farfetch is an online platform connecting sellers and buyers of personal luxury goods. It was founded in 2008. The company partners with over 1,000 luxury goods sellers to offer their inventory on the platform. When making the retailers’ stock available to almost a million active customers, the company charges a cut of over 30% (third-party take rate). The company operates digital marketplace platform Farfetch, Browns stores, acquired branded company New Guard Group and Farfetch solutions, powering e-commerce operations of luxury brands.
