American Woodmark Corporation (AMWD)
Quick ratio
| Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 87,398 | 97,829 | 96,381 | 89,650 | 41,732 | 45,817 | 44,834 | 33,696 | 22,325 | 871 | 8,007 | 27,818 | 91,071 | 91,792 | 112,560 | 128,055 | 47,063 | 51,435 | 71,049 | 57,656 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 500 | 1,500 |
| Receivables | US$ in thousands | 117,559 | 113,073 | 120,742 | 117,763 | 119,163 | 117,742 | 153,644 | 162,447 | 156,961 | 159,470 | 154,300 | 130,736 | 146,866 | 147,834 | 149,165 | 123,301 | 128,591 | 122,822 | 119,999 | 126,910 |
| Total current liabilities | US$ in thousands | 195,726 | 188,281 | 181,489 | 175,502 | 178,124 | 168,120 | 211,196 | 236,864 | 216,228 | 192,950 | 195,134 | 198,817 | 220,447 | 210,883 | 195,148 | 178,065 | 169,202 | 169,409 | 180,427 | 149,590 |
| Quick ratio | 1.05 | 1.12 | 1.20 | 1.18 | 0.90 | 0.97 | 0.94 | 0.83 | 0.83 | 0.83 | 0.83 | 0.80 | 1.08 | 1.14 | 1.34 | 1.41 | 1.04 | 1.03 | 1.06 | 1.24 |
April 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($87,398K
+ $—K
+ $117,559K)
÷ $195,726K
= 1.05
The quick ratio of American Woodmark Corporation has shown some fluctuations over the past few quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
From Apr 30, 2019, to Apr 30, 2024, the quick ratio has ranged from a low of 0.83 to a high of 1.41. The trend indicates that the company's liquidity position improved from Jul 31, 2020, to Oct 31, 2021, with quick ratios consistently above 1.00 during this period. This indicates that American Woodmark had more than enough liquid assets to cover its current liabilities.
However, from Oct 31, 2021, to Apr 30, 2023, there was a slight decline in the quick ratio, dropping to as low as 0.90 on Apr 30, 2023. This might signal potential liquidity concerns or challenges in meeting short-term obligations during that period.
Subsequently, the quick ratio has shown some recovery, reaching 1.18 on Jul 31, 2023. This improvement continued with ratios above 1.00 in the following quarters, indicating a strengthening liquidity position.
Overall, the quick ratio analysis suggests that American Woodmark Corporation has maintained a generally healthy liquidity position, with the ability to cover its short-term obligations. However, management should continue to monitor and manage liquidity effectively to ensure ongoing financial stability.