Alamo Group Inc (ALG)

Quick ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash US$ in thousands 197,274 51,919 47,016 42,115 50,195
Short-term investments US$ in thousands
Receivables US$ in thousands
Total current liabilities US$ in thousands 190,309 213,926 190,506 192,564 157,295
Quick ratio 1.04 0.24 0.25 0.22 0.32

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($197,274K + $—K + $—K) ÷ $190,309K
= 1.04

The quick ratio of Alamo Group Inc, a measure of the company's ability to meet its short-term obligations with its most liquid assets, has shown fluctuations over the years based on the provided data.

As of December 31, 2020, the quick ratio stood at 0.32, indicating that the company had $0.32 of liquid assets available for every $1 of current liabilities.

By December 31, 2021, the quick ratio decreased to 0.22, reflecting a potential liquidity strain as the ratio dropped.

However, there was a slight improvement by December 31, 2022, with the quick ratio increasing to 0.25.

Subsequently, on December 31, 2023, the quick ratio remained relatively stable at 0.24, suggesting a similar liquidity position compared to the previous year.

Notably, by December 31, 2024, there was a significant improvement as the quick ratio surged to 1.04, signifying a strong ability to cover short-term obligations with liquid assets.

In conclusion, the trend in Alamo Group Inc's quick ratio reflects fluctuations in liquidity levels over the years, with 2024 showing a substantial improvement in the company's short-term liquidity position.


Peer comparison

Dec 31, 2024