Clean Harbors Inc (CLH)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 687,192 | 444,698 | 492,603 | 452,575 | 519,101 |
| Short-term investments | US$ in thousands | 102,634 | 106,101 | 62,033 | 81,724 | 51,857 |
| Receivables | US$ in thousands | 1,015,360 | 983,111 | 964,603 | 792,734 | 611,534 |
| Total current liabilities | US$ in thousands | 1,102,670 | 1,037,540 | 1,020,090 | 925,314 | 636,145 |
| Quick ratio | 1.64 | 1.48 | 1.49 | 1.43 | 1.86 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($687,192K
+ $102,634K
+ $1,015,360K)
÷ $1,102,670K
= 1.64
The quick ratio of Clean Harbors Inc has shown a relatively stable trend over the five-year period from December 31, 2020, to December 31, 2024. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets.
The quick ratio decreased from 1.86 in December 31, 2020 to 1.43 in December 31, 2021, indicating a slight decline in the company's ability to cover its current liabilities with its quick assets. However, the ratio then improved to 1.49 in December 31, 2022, and remained relatively steady around 1.48 in December 31, 2023, and 1.64 in December 31, 2024.
Overall, the quick ratio of Clean Harbors Inc remained above the industry average of 1 during the period under review. This suggests that the company maintained a solid liquidity position, with sufficient liquid assets to cover its short-term obligations. Although there was some fluctuation in the ratio, the general trend indicates a stable liquidity position over the years.