Fox Factory Holding Corp (FOXF)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 71,674 | 83,642 | 145,250 | 179,686 | 245,764 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 259,780 | 207,550 | 258,889 | 229,862 | 165,389 |
| Quick ratio | 0.28 | 0.40 | 0.56 | 0.78 | 1.49 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($71,674K
+ $—K
+ $—K)
÷ $259,780K
= 0.28
The quick ratio of Fox Factory Holding Corp, a measure of short-term liquidity, has shown a declining trend over the past five years. Starting at a comfortable level of 1.49 on December 31, 2020, the ratio has decreased to 0.78 by December 31, 2021, and further dropped to 0.56 by December 31, 2022. This downward trend continued with the ratio falling to 0.40 by December 31, 2023, and reaching its lowest point of 0.28 by December 31, 2024.
A quick ratio below 1 typically indicates that a company may have difficulty meeting its short-term obligations with its readily available assets. The declining trend in Fox Factory's quick ratio raises concerns about its ability to cover its immediate liabilities using its most liquid assets. This suggests a potential liquidity risk for the company, which may require closer monitoring and management attention to ensure its financial health in the short term.
Peer comparison
Dec 31, 2024