LeMaitre Vascular Inc (LMAT)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	24,269	19,134	13,855	26,764	11,786
Short-term investments	US$ in thousands	80,805	63,557	56,104	214	20,894
Receivables	US$ in thousands	25,064	22,040	19,631	19,552	16,572
Total current liabilities	US$ in thousands	29,879	25,329	21,813	25,145	20,851
Quick ratio		4.36	4.13	4.11	1.85	2.36

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($24,269K + $80,805K + $25,064K) ÷ $29,879K
= 4.36

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. Lemaitre Vascular Inc's quick ratio has been consistently above 1, indicating a strong ability to cover its short-term liabilities with its liquid assets.

Over the five-year period from 2019 to 2023, Lemaitre Vascular Inc's quick ratio has ranged from 2.19 to 4.60, with the most recent value standing at 4.57 in 2023. This demonstrates a stable and improving liquidity position over the years, indicating the company's ability to easily meet its short-term financial obligations.

A quick ratio of 4.57 in 2023 suggests that Lemaitre Vascular Inc has $4.57 in liquid assets available to cover each dollar of its current liabilities. This high level of liquidity indicates a strong financial position, providing a cushion to handle unexpected financial challenges and ensuring the company can meet its short-term obligations without difficulty.

Overall, Lemaitre Vascular Inc's consistent and high quick ratio indicates a robust liquidity position, reflecting the company's sound financial management and ability to efficiently manage its short-term liquidity needs.