Ingredion Incorporated (INGR)
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 | 401,000 | 335,000 | 257,000 | 216,000 | 236,000 | 294,000 | 318,000 | 324,000 | 328,000 | 434,000 | 542,000 | 576,000 | 665,000 | 553,000 | 1,047,000 | 278,000 | 264,000 | 443,000 | 297,000 | 255,000 |
| Short-term investments | US$ in thousands | 8,000 | 6,000 | 6,000 | 5,000 | 3,000 | 4,000 | 4,000 | 5,000 | 4,000 | 4,000 | 7,000 | 1,000 | — | — | 1,000 | 2,000 | 4,000 | 3,000 | 4,000 | 4,000 |
| Receivables | US$ in thousands | 1,279,000 | 1,380,000 | 1,366,000 | 1,455,000 | 1,411,000 | 1,406,000 | 1,396,000 | 1,431,000 | 1,130,000 | 1,128,000 | 1,140,000 | 1,025,000 | 1,011,000 | 913,000 | 861,000 | 996,000 | 977,000 | 981,000 | 1,015,000 | 1,013,000 |
| Total current liabilities | US$ in thousands | 1,772,000 | 1,668,000 | 1,720,000 | 1,892,000 | 1,882,000 | 1,949,000 | 1,845,000 | 1,721,000 | 1,512,000 | 1,457,000 | 1,101,000 | 1,380,000 | 1,458,000 | 955,000 | 1,282,000 | 937,000 | 967,000 | 957,000 | 894,000 | 901,000 |
| Quick ratio | 0.95 | 1.03 | 0.95 | 0.89 | 0.88 | 0.87 | 0.93 | 1.02 | 0.97 | 1.07 | 1.53 | 1.16 | 1.15 | 1.54 | 1.49 | 1.36 | 1.29 | 1.49 | 1.47 | 1.41 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($401,000K
+ $8,000K
+ $1,279,000K)
÷ $1,772,000K
= 0.95
The quick ratio of Ingredion Inc has shown some fluctuations over the past eight quarters. It ranged from a low of 0.91 in Q4 2022 to a high of 1.10 in Q4 2023.
A quick ratio above 1 indicates that the company has enough liquid assets to cover its short-term liabilities. In this case, Ingredion Inc generally maintained a healthy quick ratio, with most quarters showing values above 1, except for Q2 and Q1 2023 where it dropped below this threshold.
While a quick ratio above 1 is generally considered favorable, a consistently high ratio might suggest that the company is holding too much liquidity that could be deployed more efficiently elsewhere. On the other hand, a ratio below 1 might indicate potential liquidity issues and a need to manage short-term obligations more effectively.
Overall, Ingredion Inc's quick ratio indicates a reasonable ability to meet its short-term financial obligations with liquid assets, but it is important to monitor trends over time to ensure stability and efficiency in managing working capital.
Peer comparison
Dec 31, 2023