Harmonic Inc (HLIT)

Quick ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash US$ in thousands 101,457 84,269 89,586 133,431 98,645
Short-term investments US$ in thousands
Receivables US$ in thousands
Total current liabilities US$ in thousands 167,569 272,394 322,072 224,461 147,295
Quick ratio 0.61 0.31 0.28 0.59 0.67

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($101,457K + $—K + $—K) ÷ $167,569K
= 0.61

The quick ratio of Harmonic Inc has fluctuated over the past five years. The ratio was 0.67 as of December 31, 2020, indicating that the company had $0.67 in liquid assets available to cover each $1 of current liabilities.

However, the quick ratio decreased to 0.59 by December 31, 2021, and then experienced a more significant decline to 0.28 by December 31, 2022. This suggests a potential liquidity concern as the company's ability to meet its short-term obligations with its most liquid assets deteriorated.

There was a slight improvement in the quick ratio to 0.31 by December 31, 2023, but it still remained below 1, indicating a continued vulnerability in meeting short-term obligations.

The most recent data point as of December 31, 2024, shows a rebound in the quick ratio to 0.61, which implies that the company's liquidity position has improved compared to the previous year but is still below the ideal threshold of 1.

Overall, based on the trend in the quick ratio, Harmonic Inc may need to closely monitor and manage its liquidity position to ensure it can meet its short-term obligations effectively.


Peer comparison

Dec 31, 2024