Darling Ingredients Inc (DAR)
Quick ratio
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 75,973 | 114,778 | 121,587 | 145,473 | 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 |
| Short-term investments | US$ in thousands | 277,473 | — | 290,946 | 253,004 | — | — | — | — | — | — | — | — | — | — | 1,037,440 | 915,085 | 805 | 5,739,060 | 5,602,450 | — |
| Receivables | US$ in thousands | 18,897 | 23,332 | 16,928 | 16,528 | 8,391 | 761,271 | 769,259 | — | 695,156 | — | — | — | 470,167 | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,043,500 | 1,062,540 | 963,057 | 967,294 | 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 |
| Quick ratio | 0.36 | 0.13 | 0.45 | 0.43 | 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 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($75,973K
+ $277,473K
+ $18,897K)
÷ $1,043,500K
= 0.36
The quick ratio of Darling Ingredients Inc has shown varying trends over the periods provided. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
- The quick ratio was extremely low in March 2020 and December 2020, indicating a potential liquidity concern.
- There was a significant improvement in the quick ratio in June 2020 and September 2020, reaching 9.37 and 9.31, respectively, which suggests a strong ability to cover short-term liabilities with liquid assets.
- In subsequent periods, the quick ratio gradually decreased but generally remained above 1, indicating a healthy liquidity position.
- However, the quick ratio dropped notably in September 2021 and December 2021, raising concerns about the company's ability to meet short-term obligations.
- The quick ratio then fluctuated between 0.12 and 0.87 in the following periods till June 2024, showing some volatility in the company's liquidity position.
- Overall, Darling Ingredients Inc needs to closely monitor its quick ratio to ensure it maintains an adequate level of liquidity to meet its short-term obligations.
Peer comparison
Dec 31, 2024