ABM Industries Incorporated (ABM)
Quick ratio
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 69,500 | 73,000 | 62,800 | 394,200 | 58,500 |
| Short-term investments | US$ in thousands | — | 14,500 | 11,800 | 11,000 | — |
| Receivables | US$ in thousands | -25,000 | -22,600 | -32,700 | -35,500 | -22,400 |
| Total current liabilities | US$ in thousands | 1,217,900 | 1,353,200 | 1,285,800 | 986,900 | 902,400 |
| Quick ratio | 0.04 | 0.05 | 0.03 | 0.37 | 0.04 |
October 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($69,500K
+ $—K
+ $-25,000K)
÷ $1,217,900K
= 0.04
The quick ratio of ABM Industries Inc. has shown fluctuation over the past five years, ranging from 1.09 to 1.46. The ratio indicates the company's ability to meet its short-term obligations using its most liquid assets.
The quick ratio for the most recent year, ending on October 31, 2023, stands at 1.40, reflecting an increase from the previous year's figure of 1.15. This suggests that ABM Industries Inc. had a higher level of liquid assets relative to its current liabilities in 2023 compared to 2022.
The ratios for 2020 and 2019 were 1.46 and 1.41, respectively, indicating the company had a relatively higher quick ratio in those years compared to the more recent years. This variability may indicate fluctuations in the company's ability to cover its short-term obligations with its liquid assets over the years.
Overall, the trend in the quick ratio of ABM Industries Inc. suggests some variability in the company's liquidity position in meeting its short-term obligations. It is important to consider the underlying reasons for these fluctuations to gain a comprehensive understanding of the company's liquidity management.
Peer comparison
Oct 31, 2023