Littelfuse Inc (LFUS)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 555,513 | 562,588 | 478,473 | 687,525 | 531,139 |
| Short-term investments | US$ in thousands | 235 | 84 | 28 | 54 | 44 |
| Receivables | US$ in thousands | 287,018 | 306,578 | 275,192 | 232,760 | 202,309 |
| Total current liabilities | US$ in thousands | 375,494 | 572,295 | 434,633 | 275,648 | 225,562 |
| Quick ratio | 2.24 | 1.52 | 1.73 | 3.34 | 3.25 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($555,513K
+ $235K
+ $287,018K)
÷ $375,494K
= 2.24
The quick ratio of Littelfuse Inc has shown some fluctuation over the past five years. In 2023, the quick ratio stands at 2.24, representing a significant improvement compared to the previous year's ratio of 1.52. This indicates that the company possesses $2.24 of highly liquid assets for every $1 of current liabilities, highlighting a strong ability to meet its short-term obligations.
Looking back at 2021 and 2022, the quick ratio was 1.73 and 1.52, respectively, which suggest a slight decline in liquidity during those years. However, it is worth noting that the ratio was comparatively higher in 2020 at 3.34 and in 2019 at 3.25, showcasing a more robust liquidity position during those periods.
Overall, Littelfuse Inc's quick ratio has exhibited variations but has generally remained above 1, indicating that the company has consistently maintained sufficient liquid assets to cover its short-term liabilities. The notable improvement in the quick ratio for 2023 reflects a better liquidity position compared to the prior year, which could potentially signify enhanced financial health and strengthened ability to manage its short-term obligations.
Peer comparison
Dec 31, 2023