Generac Holdings Inc (GNRC)
Quick ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 200,994 | 161,525 | 192,768 | 137,365 | 132,723 | 229,911 | 467,140 | 206,023 | 147,339 | 423,726 | 390,086 | 744,814 | 655,128 | 513,944 | 396,734 | 307,456 | 322,883 | 216,038 | 110,367 | 161,266 |
| Short-term investments | US$ in thousands | — | — | — | — | — | 5,516 | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 537,316 | 589,226 | 540,332 | 490,384 | 522,458 | 542,528 | 692,291 | 609,870 | 546,466 | 510,670 | 480,889 | 428,702 | 374,906 | 398,240 | 322,937 | 312,013 | 319,538 | 373,591 | 341,535 | 284,612 |
| Total current liabilities | US$ in thousands | 880,771 | 900,094 | 936,827 | 910,342 | 992,044 | 1,105,130 | 1,172,180 | 1,253,160 | 1,155,910 | 1,018,010 | 836,249 | 710,265 | 641,524 | 556,258 | 486,720 | 483,016 | 497,064 | 476,016 | 480,363 | 515,979 |
| Quick ratio | 0.84 | 0.83 | 0.78 | 0.69 | 0.66 | 0.70 | 0.99 | 0.65 | 0.60 | 0.92 | 1.04 | 1.65 | 1.61 | 1.64 | 1.48 | 1.28 | 1.29 | 1.24 | 0.94 | 0.86 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($200,994K
+ $—K
+ $537,316K)
÷ $880,771K
= 0.84
The quick ratio of Generac Holdings Inc has been fluctuating over the past eight quarters, ranging from 0.71 to 1.07. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty meeting its current liabilities with its quick assets alone.
In the most recent quarter (Q4 2023), the quick ratio stands at 0.94, indicating that Generac Holdings Inc has $0.94 in quick assets for every $1 of current liabilities. Although the ratio has remained below 1 for several quarters, it has generally shown a slight improvement in recent periods from the low of 0.71 in Q1 2022 to the high of 1.07 in Q2 2022.
Overall, while the company's quick ratio has shown some variability, management should continue to monitor and potentially improve the ratio to ensure the company can meet its short-term obligations efficiently.
Peer comparison
Dec 31, 2023