Amphenol Corporation (APH)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,475,000 | 1,373,100 | 1,197,100 | 1,702,000 | 891,200 |
| Short-term investments | US$ in thousands | 185,200 | 61,100 | 44,300 | 36,100 | 17,400 |
| Receivables | US$ in thousands | 2,618,400 | 2,631,300 | 2,454,800 | 1,951,600 | 1,736,400 |
| Total current liabilities | US$ in thousands | 3,152,700 | 2,676,100 | 2,447,100 | 2,304,300 | 2,132,700 |
| Quick ratio | 1.36 | 1.52 | 1.51 | 1.60 | 1.24 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,475,000K
+ $185,200K
+ $2,618,400K)
÷ $3,152,700K
= 1.36
The quick ratio of Amphenol Corp. has shown a fluctuating trend over the past five years. The quick ratio decreased from 1.36 in 2019 to 1.48 in 2023, indicating a decline in the company's ability to meet its short-term obligations with its most liquid assets. However, it is important to note that a quick ratio above 1 suggests that the company has sufficient liquid assets to cover its current liabilities.
Despite the slight decrease in recent years, Amphenol Corp. has maintained a quick ratio above 1, reflecting the company's sound liquidity position. Overall, while the downward trend in the quick ratio should be monitored, the company's ability to easily cover short-term obligations with its quick assets remains relatively strong.