Armstrong World Industries Inc (AWI)
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 | 70,800 | 96,600 | 101,600 | 96,000 | 106,000 | 86,800 | 79,300 | 76,100 | 98,100 | 94,300 | 119,000 | 121,600 | 136,900 | 138,800 | 117,100 | 146,900 | 45,300 | 98,000 | 240,300 | 273,800 |
| Short-term investments | US$ in thousands | — | 3,200 | 5,600 | 6,500 | 3,700 | — | — | — | — | 54,000 | 50,000 | 46,000 | 41,000 | 44,000 | — | — | — | — | — | — |
| Receivables | US$ in thousands | 111,000 | 116,700 | 117,000 | 121,900 | 112,400 | 119,400 | 130,000 | 114,100 | 109,100 | 102,900 | 92,900 | 91,300 | 78,300 | 90,100 | 106,800 | 96,900 | 85,100 | 88,800 | 96,700 | 85,300 |
| Total current liabilities | US$ in thousands | 194,500 | 185,800 | 176,800 | 166,300 | 182,700 | 212,400 | 207,200 | 192,800 | 209,600 | 194,300 | 177,600 | 156,200 | 172,300 | 132,300 | 156,900 | 169,800 | 155,200 | 142,200 | 581,500 | 589,900 |
| Quick ratio | 0.93 | 1.17 | 1.27 | 1.35 | 1.22 | 0.97 | 1.01 | 0.99 | 0.99 | 1.29 | 1.47 | 1.66 | 1.49 | 2.06 | 1.43 | 1.44 | 0.84 | 1.31 | 0.58 | 0.61 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($70,800K
+ $—K
+ $111,000K)
÷ $194,500K
= 0.93
The quick ratio of Armstrong World Industries Inc. has shown some fluctuations over the past eight quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
In Q1 2023, the quick ratio was 1.47, indicating that the company had $1.47 in liquid assets available to cover each dollar of its current liabilities. This suggests a strong liquidity position. The ratio then decreased in subsequent quarters, reaching its lowest point at 1.04 in Q4 2023. A quick ratio above 1 typically indicates that the company is able to meet its short-term obligations comfortably.
Overall, despite some fluctuations, Armstrong World Industries Inc. has maintained a generally healthy quick ratio above 1 over the past eight quarters, indicating a strong ability to cover its short-term liabilities with its liquid assets. However, management may want to monitor the downward trend in recent quarters to ensure continued liquidity strength.
Peer comparison
Dec 31, 2023