Central Garden & Pet Company A (CENTA)
Quick ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 753,550 | 570,398 | 301,332 | 341,419 | 488,730 | 333,139 | 60,607 | 87,800 | 177,442 | 195,791 | 54,082 | 296,038 | 426,422 | 517,052 | 39,869 | 608,285 | 652,712 | 495,339 | 331,555 | 445,813 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 1,838,480 | 0 |
| Receivables | US$ in thousands | 326,220 | 507,524 | 578,237 | 370,996 | 332,890 | 492,850 | 564,874 | 329,129 | 376,787 | 505,896 | 619,629 | 343,659 | 385,384 | 494,432 | 636,466 | 322,806 | 391,773 | 503,288 | 460,985 | 268,229 |
| Total current liabilities | US$ in thousands | 515,384 | 521,445 | 556,490 | 494,171 | 457,987 | 496,387 | 475,949 | 423,039 | 465,892 | 516,187 | 570,749 | 513,350 | 522,319 | 511,007 | 536,763 | 441,212 | 440,262 | 385,250 | 357,100 | 343,860 |
| Quick ratio | 2.10 | 2.07 | 1.58 | 1.44 | 1.79 | 1.66 | 1.31 | 0.99 | 1.19 | 1.36 | 1.18 | 1.25 | 1.55 | 1.98 | 1.26 | 2.11 | 2.37 | 2.59 | 7.37 | 2.08 |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($753,550K
+ $—K
+ $326,220K)
÷ $515,384K
= 2.10
The quick ratio of Central Garden & Pet Company A has fluctuated over the periods shown in the table. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities.
From December 2019 to June 2020, the quick ratio remained consistently above 2, indicating a strong liquidity position. However, in the following periods up to December 2021, the quick ratio decreased gradually before rising again in March 2022.
The quick ratio then fluctuated in a range between 1.18 and 1.79 until March 2024, where it dropped to 1.31 before further declining to 1.58 in June 2024. The most recent quick ratio for September 2024 stands at 2.10, showing an improvement in the company's liquidity position.
Overall, the company has maintained a quick ratio above 1 in most periods, suggesting a generally healthy ability to meet its short-term obligations using its liquid assets. However, the fluctuating nature of the ratio indicates potential changes in the company's liquidity position that warrant further monitoring and analysis.
Peer comparison
Sep 30, 2024