Allete Inc (ALE)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 32,800 | 101,900 | 37,500 | 32,000 | 71,900 | 125,500 | 47,900 | 29,900 | 36,400 | 42,100 | 74,600 | 60,100 | 45,100 | 59,000 | 62,500 | 159,000 | 44,300 | 79,000 | 25,700 | 67,000 |
| Short-term investments | US$ in thousands | — | 6,600 | — | — | — | — | — | — | — | — | — | — | — | 317,000 | — | 301,000 | 301,000 | 291,000 | — | — |
| Receivables | US$ in thousands | 175,300 | 136,800 | 133,000 | 142,200 | 161,000 | 119,600 | 123,200 | 120,300 | 167,100 | 120,500 | 116,200 | 118,400 | 148,400 | 110,200 | 105,200 | 113,500 | 132,800 | 92,000 | 85,800 | 99,400 |
| Total current liabilities | US$ in thousands | 404,200 | 334,400 | 297,600 | 260,800 | 377,600 | 413,500 | 380,300 | 464,400 | 716,200 | 706,000 | 709,000 | 556,600 | 543,400 | 646,000 | 595,500 | 574,900 | 459,600 | 630,000 | 727,700 | 623,100 |
| Quick ratio | 0.51 | 0.73 | 0.57 | 0.67 | 0.62 | 0.59 | 0.45 | 0.32 | 0.28 | 0.23 | 0.27 | 0.32 | 0.36 | 0.75 | 0.28 | 1.00 | 1.04 | 0.73 | 0.15 | 0.27 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($32,800K
+ $—K
+ $175,300K)
÷ $404,200K
= 0.51
The quick ratio of Allete Inc has shown fluctuations over the past five years, ranging from as low as 0.15 to as high as 1.04. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.
In December 2020, the quick ratio improved significantly to 1.04, indicating the company had more than enough liquid assets to cover its short-term liabilities. However, this improvement was not sustained in the following quarters, with the ratio dropping to 0.15 in June 2020, reflecting a potential liquidity crunch.
From 2021 to 2024, the quick ratio fluctuated within a range of 0.27 to 0.73, indicating varying levels of liquidity. The ratio improved in March 2021 to 1.00, suggesting a strong ability to cover short-term obligations, but declined again in the subsequent quarters.
Overall, Allete Inc's quick ratio has shown volatility, with some periods indicating potential liquidity challenges. It is important for investors and analysts to closely monitor this ratio to assess the company's short-term liquidity position and ability to meet its financial commitments.
Peer comparison
Dec 31, 2024