Albany International Corporation (AIN)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 115,283 | 173,420 | 291,776 | 302,036 | 241,316 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 226,366 | 248,679 | 211,316 | 208,166 | 190,863 |
| Quick ratio | 0.51 | 0.70 | 1.38 | 1.45 | 1.26 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($115,283K
+ $—K
+ $—K)
÷ $226,366K
= 0.51
The quick ratio of Albany International Corporation has shown fluctuating trends over the past five years. Starting at 1.26 in December 2020, the ratio improved to 1.45 by December 2021, indicating a stronger ability to meet short-term obligations with liquid assets. However, there was a slight decline to 1.38 by December 2022.
A notable concern arose in December 2023 when the quick ratio dropped significantly to 0.70, suggesting potential liquidity issues or challenges in meeting short-term liabilities with readily available assets. This decline may warrant further investigation into the company's liquidity management and financial health during that period.
The situation worsened by December 2024, as the quick ratio fell even lower to 0.51, indicating a more pressing need to assess the company's ability to cover immediate liabilities with liquid resources. It is imperative for Albany International Corporation to address and resolve the declining trend in the quick ratio to ensure sufficient liquidity for its operational needs and financial stability.