Group 1 Automotive Inc (GPI)
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 | 57,200 | 52,900 | 22,800 | 21,300 | 47,900 | 20,500 | 26,300 | 16,600 | 14,900 | 296,900 | 198,700 | 82,900 | 69,000 | 66,200 | 72,700 | 19,200 | 23,800 | 41,000 | 37,740 | 33,623 |
| Short-term investments | US$ in thousands | — | 400 | 100 | — | 100 | 200 | — | — | — | — | — | — | 18,300 | — | — | — | — | — | — | 189 |
| Receivables | US$ in thousands | 238,400 | 223,500 | 215,900 | 207,100 | 199,200 | 184,400 | 182,600 | 197,000 | 177,900 | 180,600 | 196,800 | 208,000 | 200,000 | 193,500 | 152,500 | 177,100 | 225,100 | 222,200 | 188,489 | 185,311 |
| Total current liabilities | US$ in thousands | 2,505,700 | 2,174,600 | 2,122,300 | 2,054,400 | 1,921,400 | 1,647,100 | 1,682,400 | 1,618,900 | 1,543,600 | 1,046,100 | 1,272,000 | 1,712,500 | 1,842,700 | 1,812,100 | 1,775,100 | 2,640,400 | 2,422,300 | 2,397,300 | 2,335,340 | 2,436,740 |
| Quick ratio | 0.12 | 0.13 | 0.11 | 0.11 | 0.13 | 0.12 | 0.12 | 0.13 | 0.12 | 0.46 | 0.31 | 0.17 | 0.16 | 0.14 | 0.13 | 0.07 | 0.10 | 0.11 | 0.10 | 0.09 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($57,200K
+ $—K
+ $238,400K)
÷ $2,505,700K
= 0.12
Group 1 Automotive, Inc.'s quick ratio has been relatively stable over the past eight quarters, hovering between 0.25 and 0.30. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty paying off its current liabilities with its current assets.
In this case, Group 1 Automotive's quick ratio has consistently been below 1, indicating potential liquidity concerns. The downward trend from Q1 2023 to Q2 2023 suggests a slight deterioration in the company's ability to cover its short-term obligations with its quick assets. It's essential for investors and stakeholders to monitor this ratio closely to assess the company's liquidity position and financial health.
Peer comparison
Dec 31, 2023