Geo Group Inc (GEO)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 93,971 | 95,073 | 506,491 | 283,524 | 32,463 |
| Short-term investments | US$ in thousands | — | — | — | 26,740 | 32,418 |
| Receivables | US$ in thousands | 390,023 | 416,399 | 365,573 | 362,668 | 430,982 |
| Total current liabilities | US$ in thousands | 437,464 | 437,212 | 378,842 | 411,296 | 395,928 |
| Quick ratio | 1.11 | 1.17 | 2.30 | 1.64 | 1.25 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($93,971K
+ $—K
+ $390,023K)
÷ $437,464K
= 1.11
The quick ratio of Geo Group, Inc. has shown some fluctuations over the years. The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has enough liquid assets to cover its short-term liabilities.
In 2023, the quick ratio of Geo Group, Inc. decreased to 1.21 from 1.27 in 2022. This slight decline may suggest a potential decrease in the company's ability to cover its short-term obligations with its most liquid assets. Further investigation into the components of the quick ratio and operational efficiency may be warranted to understand the factors contributing to this decline.
Comparing the quick ratio to previous years, in 2021, the quick ratio was significantly higher at 2.44, indicating a stronger ability to meet short-term obligations with liquid assets. The quick ratio then decreased in 2020 to 1.66 before slightly increasing in 2019 to 1.30.
Overall, although there has been some variability in the quick ratio of Geo Group, Inc. over the years, the company has generally maintained a quick ratio above 1, suggesting a favorable position in terms of liquidity and ability to cover short-term liabilities. Continued monitoring of the quick ratio along with a deeper analysis of the company's financial health is recommended to assess its current and future liquidity position.
Peer comparison
Dec 31, 2023