Deluxe Corporation (DLX)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 34,399 | 71,962 | 40,400 | 41,200 | 123,100 |
| Short-term investments | US$ in thousands | — | — | 8,126 | 13,307 | 28,462 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 625,516 | 819,065 | 752,300 | 683,400 | 411,800 |
| Quick ratio | 0.05 | 0.09 | 0.06 | 0.08 | 0.37 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($34,399K
+ $—K
+ $—K)
÷ $625,516K
= 0.05
The quick ratio of Deluxe Corporation has shown a declining trend over the years, starting at 0.37 on December 31, 2020, and decreasing to 0.08 on December 31, 2021, further dropping to 0.06 on December 31, 2022, before slightly improving to 0.09 on December 31, 2023, and then decreasing again to 0.05 on December 31, 2024. This indicates that the company may have challenges in meeting its short-term obligations with its most liquid assets, as the ratio suggests a low level of quick assets relative to current liabilities. It warrants further investigation into the company's liquidity management and financial health.