MarineMax Inc (HZO)
Quick ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 224,326 | 201,456 | 228,274 | 222,192 | 155,493 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 108,761 | 87,253 | 51,533 | 49,005 | 41,526 |
| Total current liabilities | US$ in thousands | 1,069,140 | 847,049 | 412,772 | 251,093 | 272,534 |
| Quick ratio | 0.31 | 0.34 | 0.68 | 1.08 | 0.72 |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($224,326K
+ $—K
+ $108,761K)
÷ $1,069,140K
= 0.31
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. MarineMax Inc's quick ratio has fluctuated over the past five years, as indicated in the data table.
In September 2024, the quick ratio stood at 0.31, indicating that the company had only $0.31 in liquid assets available to cover each dollar of its current liabilities. This suggests potential difficulties in meeting short-term obligations without relying on selling inventory or obtaining additional financing.
Comparing this to previous years, the trend shows a gradual decline in the quick ratio from 1.08 in September 2021 to the current level of 0.31 in September 2024. The significant drop in the quick ratio may raise concerns about MarineMax Inc's liquidity position and its ability to easily convert assets into cash to meet immediate liabilities.
Further analysis is needed to understand the reasons behind the decreasing trend in the quick ratio and whether there are any underlying issues impacting the company's liquidity management. Investors and stakeholders should closely monitor MarineMax Inc's liquidity position and management's actions to address any potential liquidity challenges.
Peer comparison
Sep 30, 2024