Granite Construction Incorporated (GVA)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 578,330 | 462,286 | 366,746 | 321,752 | 417,663 | 292,124 | 214,446 | 199,751 | 293,991 | 255,084 | 175,022 | 360,911 | 395,647 | 464,049 | 393,181 | 452,928 | 436,136 | 388,024 | 288,922 | 242,604 |
| Short-term investments | US$ in thousands | 148,239 | 10,147 | 10,500 | 184,485 | 35,863 | 237,947 | 213,074 | 221,817 | 223,182 | 226,697 | 232,028 | 206,136 | 189,911 | 195,354 | 195,430 | 186,536 | 188,798 | 184,980 | 5,896 | 195,458 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,031,960 | 1,164,830 | 1,016,400 | 936,435 | 1,029,880 | 1,056,480 | 867,234 | 723,367 | 797,594 | 1,040,980 | 994,246 | 939,254 | 1,069,320 | 1,100,350 | 1,048,280 | 1,000,140 | 943,256 | 974,593 | 889,600 | 809,562 |
| Quick ratio | 0.70 | 0.41 | 0.37 | 0.54 | 0.44 | 0.50 | 0.49 | 0.58 | 0.65 | 0.46 | 0.41 | 0.60 | 0.55 | 0.60 | 0.56 | 0.64 | 0.66 | 0.59 | 0.33 | 0.54 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($578,330K
+ $148,239K
+ $—K)
÷ $1,031,960K
= 0.70
The quick ratio of Granite Construction Incorporated has shown some variability over the periods analyzed. From March 31, 2020, to December 31, 2024, the quick ratio ranged from a low of 0.33 to a high of 0.70. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.
During the period, the quick ratio generally stayed below 1, indicating that Granite Construction may have had difficulty meeting its short-term liabilities using only its liquid assets. A quick ratio below 1 may suggest potential liquidity challenges. However, the ratio improved over time, reaching its peak at 0.70 on December 31, 2024, which is a positive sign of enhanced liquidity.
Nonetheless, the variability in the quick ratio over the period indicates some fluctuations in the company's liquidity position, which may warrant further investigation into the company's cash management and working capital practices. Overall, the trend towards improvement in the quick ratio suggests positive developments in Granite Construction's ability to meet its short-term obligations with liquid assets.
Peer comparison
Dec 31, 2024