Darling Ingredients Inc (DAR)
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 | 126,502 | 118,977 | 111,541 | 132,572 | 127,016 | 126,032 | 146,730 | 99,460 | 68,906 | 67,188 | 77,741 | 71,199 | 81,617 | 65,845 | 76,185 | 76,339 | 72,935 | 69,122 | 87,011 | 95,716 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | 1,037,440 | 915,085 | 805 | 5,739,060 | 5,602,450 | — | — | — | — | — |
| Receivables | US$ in thousands | 8,391 | 761,271 | 769,259 | — | 695,156 | — | — | — | 470,167 | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 998,137 | 1,033,700 | 1,013,550 | 1,099,020 | 1,068,440 | 1,027,980 | 919,827 | 813,414 | 752,684 | 756,197 | 692,212 | 637,707 | 675,305 | 623,554 | 606,296 | 651,746 | 688,339 | 595,893 | 566,306 | 546,172 |
| Quick ratio | 0.14 | 0.85 | 0.87 | 0.12 | 0.77 | 0.12 | 0.16 | 0.12 | 0.72 | 0.09 | 1.61 | 1.55 | 0.12 | 9.31 | 9.37 | 0.12 | 0.11 | 0.12 | 0.15 | 0.18 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($126,502K
+ $—K
+ $8,391K)
÷ $998,137K
= 0.14
The quick ratio of Darling Ingredients Inc has fluctuated significantly over the periods analyzed. In general, a quick ratio below 1 indicates that a company may have difficulty meeting its short-term liabilities with its liquid assets.
The quick ratio was particularly low in Q1 and Q4 of 2020 and 2023, signaling potential liquidity concerns during those periods. However, the quick ratio showed significant improvement in Q3 of 2020 and 2023, reaching very high levels, which may suggest an improved ability to cover short-term liabilities with highly liquid assets during those quarters.
Overall, Darling Ingredients Inc's quick ratio has displayed volatility over time, indicating fluctuations in the company's ability to meet its short-term obligations with readily available assets. It is important for investors and stakeholders to monitor this ratio carefully to assess the company's liquidity position.
Peer comparison
Dec 31, 2023