The Andersons Inc (ANDE)
Quick ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 643,854 | 418,055 | 96,293 | 70,853 | 115,269 | 140,771 | 86,035 | 36,381 | 216,444 | 216,874 | 27,538 | 35,393 | 29,123 | 13,693 | 30,011 | 19,693 | 54,895 | 12,299 | 11,087 | 29,991 |
| Short-term investments | US$ in thousands | — | 12,026 | 11,107 | 8,265 | — | 6,925 | 3,276 | — | — | — | — | — | — | 25,368 | — | — | — | — | — | — |
| Receivables | US$ in thousands | 762,549 | 816,686 | 1,030,270 | 1,135,420 | 1,261,150 | 1,002,550 | 1,158,730 | 1,068,800 | 845,164 | 748,872 | 733,410 | 711,569 | 665,457 | 536,768 | 544,343 | 546,257 | 546,970 | 546,504 | 731,809 | 631,424 |
| Total current liabilities | US$ in thousands | 1,636,330 | 1,407,630 | 1,393,240 | 2,112,310 | 2,521,320 | 2,320,510 | 2,577,580 | 3,062,770 | 2,463,930 | 1,723,160 | 1,690,560 | 1,918,120 | 1,931,680 | 1,096,540 | 926,782 | 1,385,490 | 1,439,920 | 1,065,480 | 1,304,570 | 1,446,340 |
| Quick ratio | 0.86 | 0.89 | 0.82 | 0.57 | 0.55 | 0.50 | 0.48 | 0.36 | 0.43 | 0.56 | 0.45 | 0.39 | 0.36 | 0.53 | 0.62 | 0.41 | 0.42 | 0.52 | 0.57 | 0.46 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($643,854K
+ $—K
+ $762,549K)
÷ $1,636,330K
= 0.86
The quick ratio of Andersons Inc. has shown variability over the past eight quarters, ranging from a low of 0.64 in Q1 2022 to a high of 1.11 in Q2 2023. The quick ratio provides insight into the company's ability to meet its short-term obligations using its most liquid assets. A quick ratio above 1 indicates that the company can cover its current liabilities with its quick assets, such as cash and accounts receivable, which is generally seen as a favorable sign of liquidity.
Analyzing the trend, we observe an improvement in the quick ratio from Q1 2022 to Q2 2023, indicating a strengthening liquidity position. However, the rapid fluctuation in the quick ratio raises concerns about the stability of the company's short-term liquidity management. Further investigation into the components of the quick ratio and the underlying reasons for these fluctuations may provide more insights into Andersons Inc.'s financial health and management efficiency.
Peer comparison
Dec 31, 2023