AptarGroup Inc (ATR)

Quick ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash US$ in thousands 223,844 223,643 141,732 122,925 300,137
Short-term investments US$ in thousands 2,337 0 0 740 243
Receivables US$ in thousands 658,100 677,800 677,000 671,000 567,000
Total current liabilities US$ in thousands 1,068,280 1,251,310 917,176 982,492 780,329
Quick ratio 0.83 0.72 0.89 0.81 1.11

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($223,844K + $2,337K + $658,100K) ÷ $1,068,280K
= 0.83

The quick ratio of AptarGroup Inc has shown some fluctuation over the past five years. As of December 31, 2020, the quick ratio was at a relatively healthy level of 1.11, indicating that the company had enough liquid assets to cover its current liabilities.

However, by December 31, 2021, the quick ratio had decreased to 0.81, suggesting a potential liquidity strain as the company may have had difficulties meeting its short-term obligations with its available quick assets.

In the following years, the quick ratio improved slightly to 0.89 as of December 31, 2022, but then decreased to 0.72 by December 31, 2023, indicating a further decline in liquidity.

By December 31, 2024, the quick ratio had recovered to 0.83, but it still remained below the ideal level of 1.0, signifying a continued imbalance between the company's quick assets and current liabilities.

Overall, AptarGroup Inc's quick ratio trend indicates some fluctuations and challenges in managing liquidity efficiently over the period analyzed. The company may need to closely monitor its liquidity position and take appropriate measures to strengthen its ability to meet short-term obligations in the future.