Equifax Inc (EFX)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 169,900 | 216,800 | 285,200 | 224,700 | 1,684,600 |
| Short-term investments | US$ in thousands | — | 1,295,000 | -36,800 | — | -149,000 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,811,500 | 2,019,000 | 2,015,200 | 2,291,300 | 2,483,100 |
| Quick ratio | 0.09 | 0.75 | 0.12 | 0.10 | 0.62 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($169,900K
+ $—K
+ $—K)
÷ $1,811,500K
= 0.09
The quick ratio of Equifax Inc has fluctuated over the years, indicating variations in the company's liquidity position. As of December 31, 2020, the quick ratio stood at 0.62, suggesting that the company had $0.62 of highly liquid assets available to cover each dollar of its current liabilities. However, by the end of 2021, the quick ratio dropped to 0.10, reflecting a significant decrease in the company's ability to meet its short-term obligations using its most liquid assets. In 2022 and 2024, the quick ratio slightly improved to 0.12 and 0.09, respectively, but remained relatively low compared to the optimal ratio of 1.0. Notably, by December 31, 2023, the quick ratio increased substantially to 0.75, indicating a more favorable liquidity position for Equifax Inc. It is essential for investors and stakeholders to monitor the company's quick ratio closely to assess its ability to meet its short-term financial obligations efficiently.