Haverty Furniture Companies Inc (HVT)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 120,635 | 123,126 | 166,146 | 200,058 | 75,739 |
| Short-term investments | US$ in thousands | — | — | — | 6,713 | — |
| Receivables | US$ in thousands | — | — | — | — | 1,527 |
| Total current liabilities | US$ in thousands | 138,264 | 154,432 | 210,377 | 204,041 | 127,016 |
| Quick ratio | 0.87 | 0.80 | 0.79 | 1.01 | 0.61 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($120,635K
+ $—K
+ $—K)
÷ $138,264K
= 0.87
The quick ratio of Haverty Furniture Companies Inc has shown some fluctuation over the past five years. As of December 31, 2023, the quick ratio stands at 0.87, which indicates that the company may have difficulty meeting its short-term obligations solely with its most liquid assets.
Comparing this to the previous years, the quick ratio was 0.80 in 2022, 0.79 in 2021, 1.01 in 2020, and 0.61 in 2019. The declining trend from 2020 to 2021 and 2022 suggests a potential weakening in the company's ability to cover its current liabilities with its quick assets. However, the ratio improved in 2023 compared to the previous two years, although it remains below the ideal value of 1.
Overall, Haverty Furniture Companies Inc should continue to monitor its quick ratio closely and consider strategies to improve liquidity management to ensure it can meet its short-term obligations effectively.
Peer comparison
Dec 31, 2023