Inter Parfums Inc (IPAR)
Current 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 839,026 | 876,854 | 823,441 | 851,601 | 787,724 | 707,640 | 680,227 | 734,467 | 709,715 | 703,958 | 679,889 | 613,116 | 600,720 | 541,348 | 487,602 | 531,916 | 573,296 | 543,348 | 554,508 | 570,454 |
| Total current liabilities | US$ in thousands | 324,745 | 363,095 | 341,674 | 362,169 | 344,567 | 248,514 | 235,499 | 250,229 | 244,910 | 212,349 | 218,193 | 152,108 | 156,205 | 119,247 | 101,974 | 145,513 | 184,465 | 167,906 | 178,604 | 183,781 |
| Current ratio | 2.58 | 2.41 | 2.41 | 2.35 | 2.29 | 2.85 | 2.89 | 2.94 | 2.90 | 3.32 | 3.12 | 4.03 | 3.85 | 4.54 | 4.78 | 3.66 | 3.11 | 3.24 | 3.10 | 3.10 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $839,026K ÷ $324,745K
= 2.58
Interpreting the current ratio of Inter Parfums, Inc. over the past eight quarters reveals fluctuations within a certain range. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. The company's current ratio has ranged between 2.29 and 2.94, indicating that the company has generally maintained a strong liquidity position over these quarters. A ratio above 1 suggests that the company can cover its short-term obligations, with higher ratios indicating a stronger liquidity position.
The current ratio peaked at 2.94 in Q2 2022, reflecting a higher level of current assets relative to current liabilities, possibly due to efficient management of working capital. However, in more recent quarters, the ratio has trended downward, reaching a low of 2.29 in Q4 2022, but has since shown some improvement. While the ratios have fluctuated, the values have generally remained above 2, which suggests that the company has the ability to meet its short-term obligations comfortably.
Overall, the current ratio analysis indicates that Inter Parfums, Inc. has maintained a healthy liquidity position, which is essential for its operational stability and ability to meet its financial obligations in the short term.
Peer comparison
Dec 31, 2023