Gentex Corporation (GNTX)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 233,319 | 226,435 | 214,755 | 262,312 | 423,371 |
| Short-term investments | US$ in thousands | 22,305 | 14,356 | 23,007 | 5,424 | 27,164 |
| Receivables | US$ in thousands | 295,344 | 321,810 | 276,494 | 249,795 | 284,925 |
| Total current liabilities | US$ in thousands | 252,693 | 271,609 | 250,553 | 181,656 | 177,737 |
| Quick ratio | 2.18 | 2.07 | 2.05 | 2.85 | 4.14 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($233,319K
+ $22,305K
+ $295,344K)
÷ $252,693K
= 2.18
The quick ratio of Gentex Corporation exhibited a decreasing trend over the years, declining from 4.14 in December 2020 to 2.85 in December 2021, and further to 2.05 in December 2022. However, there was a slight improvement in the quick ratio in December 2023 and December 2024, reaching 2.07 and 2.18, respectively. Despite the fluctuations, Gentex Corporation maintained a quick ratio above 1 throughout the period, indicating the company's ability to cover its short-term obligations with its most liquid assets. It is essential for the company to continue monitoring and managing its liquidity position to ensure ongoing financial stability and meet its financial obligations efficiently.
Peer comparison
Dec 31, 2024