Medpace Holdings Inc (MEDP)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	245,449	28,265	461,304	277,766	131,920
Short-term investments	US$ in thousands	—	—	—	—	—
Receivables	US$ in thousands	298,400	253,404	186,432	160,962	155,662
Total current liabilities	US$ in thousands	925,131	803,470	557,217	440,110	343,002
Quick ratio		0.59	0.35	1.16	1.00	0.84

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($245,449K + $—K + $298,400K) ÷ $925,131K
= 0.59

The quick ratio of Medpace Holdings Inc has fluctuated over the past five years, ranging from 0.42 to 1.24. In 2023, the quick ratio stands at 0.64, which indicates that the company may have difficulty meeting its short-term obligations with its most liquid assets. This suggests that Medpace Holdings Inc may have a relatively low level of quick assets compared to its current liabilities. The trend in the quick ratio from 2021 to 2023 shows a decrease, which could potentially signal a weakening liquidity position over this period. Further analysis and comparison with industry benchmarks would provide a clearer understanding of the company's liquidity management and financial health.