Itron Inc (ITRI)
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 | 302,049 | 254,771 | 232,787 | 196,013 | 202,007 | 215,413 | 208,500 | 203,997 | 162,579 | 188,691 | 207,131 | 574,592 | 206,933 | 586,167 | 544,823 | 554,520 | 149,904 | 140,938 | 135,736 | 110,828 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 303,821 | 318,104 | 318,809 | 305,275 | 280,435 | 266,669 | 259,657 | 303,250 | 298,459 | 320,994 | 336,071 | 365,826 | 369,828 | 386,920 | 411,200 | 463,613 | 472,925 | 468,477 | 466,366 | 473,077 |
| Total current liabilities | US$ in thousands | 537,236 | 555,924 | 559,920 | 536,555 | 498,572 | 502,117 | 461,190 | 501,568 | 501,344 | 495,754 | 514,365 | 909,562 | 549,899 | 586,705 | 601,679 | 667,094 | 671,391 | 684,603 | 670,160 | 665,878 |
| Quick ratio | 1.13 | 1.03 | 0.99 | 0.93 | 0.97 | 0.96 | 1.02 | 1.01 | 0.92 | 1.03 | 1.06 | 1.03 | 1.05 | 1.66 | 1.59 | 1.53 | 0.93 | 0.89 | 0.90 | 0.88 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($302,049K
+ $—K
+ $303,821K)
÷ $537,236K
= 1.13
The quick ratio measures a company's ability to cover its short-term liabilities with its most liquid assets. A higher quick ratio indicates stronger liquidity and a better ability to meet immediate obligations.
Looking at the trend of Itron Inc.'s quick ratio over the past eight quarters, we can see that it has fluctuated within a relatively narrow range between 1.19 and 1.43. This indicates a consistent level of liquidity management by the company.
The quick ratio has generally remained above 1, which suggests that Itron Inc. has had an adequate level of liquid assets to cover its short-term liabilities in most quarters. A quick ratio above 1 indicates that the company can easily meet its current obligations without having to rely heavily on selling inventory.
The highest quick ratio of 1.43 in Q4 2023 indicates that Itron Inc. had more than enough liquid assets to cover its short-term liabilities at that point in time. This could be a positive sign of financial health and efficient working capital management.
Overall, based on the quick ratio data provided, Itron Inc. appears to have maintained a relatively stable and acceptable level of liquidity over the past eight quarters, which may indicate prudent financial management.
Peer comparison
Dec 31, 2023