Fox Factory Holding Corp (FOXF)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 83,642 | 145,250 | 179,686 | 245,764 | 43,736 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 171,060 | 200,440 | 142,040 | 121,194 | 91,632 |
| Total current liabilities | US$ in thousands | 207,550 | 258,889 | 229,862 | 165,389 | 91,813 |
| Quick ratio | 1.23 | 1.34 | 1.40 | 2.22 | 1.47 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($83,642K
+ $—K
+ $171,060K)
÷ $207,550K
= 1.23
The quick ratio of Fox Factory Holding Corp has displayed some fluctuations over the past five years. The ratio indicates the company's ability to meet its short-term obligations with its most liquid assets.
In 2023, the quick ratio was 1.23, indicating that the company had $1.23 in highly liquid assets available to cover each dollar of current liabilities. This represents a slight decrease from the previous year's ratio of 1.34. Despite the decrease, the quick ratio still suggests that Fox Factory Holding Corp has a relatively sound ability to cover its short-term liabilities.
Comparing the current ratio to earlier years, we observe a downward trend from 2020 (2.22) to 2023 (1.23), indicating a decline in the liquidity position of the company. However, the quick ratio remains above 1 in each year, suggesting that the company generally maintains a healthy level of liquid assets relative to its current liabilities.
In conclusion, while there has been some variability in Fox Factory Holding Corp's quick ratio over the last five years, the company has generally sustained a reasonable level of short-term liquidity to meet its immediate financial obligations. It would be essential to monitor future trends in the quick ratio to assess the company's ongoing liquidity position and financial health.
Peer comparison
Dec 31, 2023