Installed Building Products Inc (IBP)
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 | 386,500 | 339,759 | 255,226 | 218,690 | 229,600 | 203,402 | 69,940 | 217,434 | 333,485 | 191,435 | 203,911 | 207,343 | 231,520 | 267,471 | 252,488 | 187,187 | 177,889 | 234,950 | 95,747 | 88,146 |
| Short-term investments | US$ in thousands | — | — | — | — | 27 | 24,996 | 94,865 | 49,980 | 0 | — | — | — | 0 | 1,220 | 16,688 | 26,487 | 37,961 | 4,980 | 9,923 | 10,026 |
| Receivables | US$ in thousands | 816,600 | 783,209 | 771,848 | 796,488 | 785,791 | 774,165 | 716,199 | 671,641 | 624,980 | 636,373 | 606,811 | 548,048 | 526,847 | 470,800 | 432,617 | 428,643 | 416,522 | 427,406 | 384,794 | 370,691 |
| Total current liabilities | US$ in thousands | 346,400 | 324,676 | 314,534 | 316,338 | 328,100 | 358,562 | 362,890 | 327,528 | 307,569 | 284,791 | 264,015 | 245,302 | 236,475 | 222,241 | 214,049 | 201,565 | 214,149 | 215,449 | 201,977 | 182,417 |
| Quick ratio | 3.47 | 3.46 | 3.27 | 3.21 | 3.09 | 2.80 | 2.43 | 2.87 | 3.12 | 2.91 | 3.07 | 3.08 | 3.21 | 3.33 | 3.28 | 3.19 | 2.95 | 3.10 | 2.43 | 2.57 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($386,500K
+ $—K
+ $816,600K)
÷ $346,400K
= 3.47
The quick ratio of Installed Building Products Inc has shown a generally positive trend over the past eight quarters, indicating the company's ability to meet its short-term obligations using its most liquid assets. The ratio has consistently remained above 1, implying that the company has an ample amount of liquid assets to cover its current liabilities.
From Q1 2022 to Q4 2023, the quick ratio has increased from 2.08 to 2.62, reaching its highest level in this period. This suggests an improvement in the company's liquidity position and its ability to quickly convert assets into cash to settle short-term obligations.
The consecutive increase in the quick ratio during this period reflects well on Installed Building Products Inc's financial health and its efficient management of working capital. Overall, the trend in the quick ratio indicates a positive liquidity position for the company and its ability to weather short-term financial challenges.
Peer comparison
Dec 31, 2023