Garmin Ltd (GRMN)

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	1,693,450	1,422,860	1,425,530	1,361,590	1,279,190	1,082,340	1,087,380	1,417,530	1,498,060	1,639,060	1,639,450	1,599,480	1,458,440	1,223,520	1,354,920	1,048,600	1,027,570	976,402	820,181	1,115,950
Short-term investments	US$ in thousands	274,618	273,050	253,689	188,878	173,288	378,705	526,639	375,237	347,980	345,214	330,567	342,656	387,642	430,164	380,880	391,646	376,463	300,542	239,765	197,385
Receivables	US$ in thousands	815,243	721,137	716,802	—	656,847	641,072	698,859	599,733	843,445	639,345	737,268	558,192	849,469	658,000	523,901	500,242	706,763	558,299	583,913	453,069
Total current liabilities	US$ in thousands	1,310,690	1,327,800	1,449,650	1,008,200	1,211,640	1,442,920	1,623,890	1,152,500	1,448,150	1,373,940	1,458,830	933,125	1,164,220	1,122,960	1,163,930	781,872	1,035,930	1,042,960	1,027,700	622,526
Quick ratio		2.12	1.82	1.65	1.54	1.74	1.46	1.42	2.08	1.86	1.91	1.86	2.68	2.32	2.06	1.94	2.48	2.04	1.76	1.60	2.84

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,693,450K + $274,618K + $815,243K) ÷ $1,310,690K
= 2.12

The quick ratio of Garmin Ltd has shown some fluctuations over the past few quarters, ranging from a low of 1.42 to a high of 2.84. A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its current liabilities.

In the most recent period, as of December 31, 2023, the quick ratio stood at 2.12, reflecting a strong ability to meet short-term obligations with its most liquid assets. This indicates a healthy financial position and suggests that Garmin Ltd is well-positioned to cover its immediate liabilities using its current assets.

Overall, the trend in Garmin Ltd's quick ratio suggests that the company has been able to consistently maintain a relatively healthy level of liquidity over the analyzed period, which is a positive indicator of its financial stability and ability to meet short-term financial obligations.