B&G Foods Inc (BGS)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	41,094	45,442	33,690	52,182	11,315
Short-term investments	US$ in thousands	—	—	—	—	—
Receivables	US$ in thousands	151,003	158,043	149,565	148,696	152,842
Total current liabilities	US$ in thousands	262,418	271,534	244,287	245,652	216,908
Quick ratio		0.73	0.75	0.75	0.82	0.76

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($41,094K + $—K + $151,003K) ÷ $262,418K
= 0.73

The quick ratio of B&G Foods Inc has shown a declining trend over the past five years, starting at 0.76 in 2019 and decreasing to 0.73 in 2023. This implies that the company's ability to meet its short-term obligations with its most liquid assets has slightly weakened over the period under review.

Although the quick ratio fluctuated between 0.73 and 0.82 during these years, it remained consistently below the ideal benchmark of 1.0, indicating that B&G Foods Inc may have faced challenges in maintaining sufficient liquid assets to cover its current liabilities.

It is advisable for the company to closely monitor and manage its current assets, particularly its cash, marketable securities, and accounts receivable, to improve its liquidity position and ensure its ability to fulfill short-term financial obligations in a timely manner.