Manhattan Associates Inc (MANH)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 266,230 | 270,741 | 225,463 | 263,706 | 204,705 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 210,669 | 182,544 | 167,414 | 127,017 | 111,076 |
| Total current liabilities | US$ in thousands | 400,304 | 365,915 | 315,595 | 249,042 | 196,986 |
| Quick ratio | 1.19 | 1.24 | 1.24 | 1.57 | 1.60 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($266,230K
+ $—K
+ $210,669K)
÷ $400,304K
= 1.19
The quick ratio of Manhattan Associates Inc experienced a slight decrease from 1.60 as of December 31, 2020, to 1.57 as of December 31, 2021. There was a more significant decline in the quick ratio to 1.24 by the end of both December 31, 2022, and December 31, 2023. This declining trend continued with a further decrease to 1.19 by December 31, 2024.
The quick ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, shows a decreasing trend over the years. A ratio above 1 indicates that Manhattan Associates Inc has more than enough liquid assets to cover its current liabilities. However, the declining trend suggests potential challenges in meeting short-term obligations in the future, which could be a point of concern for investors and creditors. Further analysis of the company's liquidity position and operational efficiency would be needed to fully assess the implications of this trend.
Peer comparison
Dec 31, 2024