Adapthealth Corp (AHCO)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	77,132	46,272	149,627	99,962	76,878
Short-term investments	US$ in thousands	—	5,748	—	—	0
Receivables	US$ in thousands	457,310	397,746	383,696	191,265	87,231
Total current liabilities	US$ in thousands	536,999	456,214	499,812	422,053	154,052
Quick ratio		1.00	0.99	1.07	0.69	1.07

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($77,132K + $—K + $457,310K) ÷ $536,999K
= 1.00

The quick ratio of AdaptHealth Corp over the past five years shows fluctuations in its ability to meet its short-term obligations with its most liquid assets. In 2023 and 2022, the quick ratio was 1.00, indicating that the company had just enough liquid assets to cover its current liabilities. The ratio improved in 2021 to 1.09, suggesting a slightly stronger position in meeting short-term obligations.

However, in 2020, the quick ratio decreased to 0.72, signaling a potential liquidity issue and a lower ability to cover current liabilities with liquid assets. The ratio rebounded in 2019 to 1.11, showing an improved liquidity position compared to 2020.

Overall, the quick ratio for AdaptHealth Corp has been somewhat volatile, with a mix of strong and weaker liquidity positions in recent years. It is important for investors and stakeholders to monitor these fluctuations to assess the company's short-term liquidity health and ability to meet its immediate financial obligations.