Callaway Golf Company (MODG)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 445,000 | 441,900 | 311,800 | 233,900 | 393,500 | 330,300 | 191,800 | 180,600 | 180,200 | 200,300 | 178,300 | 245,000 | 352,200 | 508,200 | 415,200 | 397,300 | 366,100 | 286,656 | 164,416 | 166,635 |
| Short-term investments | US$ in thousands | — | — | — | 6,300 | 5,200 | — | 7,400 | — | 4,400 | 3,400 | 1,100 | — | 21 | — | 4 | 7,250 | 19 | 111,442 | — | — |
| Receivables | US$ in thousands | 187,100 | 308,200 | 408,000 | 432,500 | 207,100 | 309,900 | 404,100 | 465,800 | 184,500 | 279,700 | 385,100 | 427,500 | 124,850 | 255,223 | 325,275 | 328,841 | 139,111 | 246,971 | 230,628 | 280,578 |
| Total current liabilities | US$ in thousands | 825,900 | 842,500 | 837,200 | 875,000 | 947,600 | 909,200 | 932,600 | 1,074,600 | 1,176,200 | 1,039,000 | 1,036,300 | 1,156,500 | 866,000 | 840,155 | 787,632 | 696,339 | 391,272 | 371,410 | 343,620 | 648,908 |
| Quick ratio | 0.77 | 0.89 | 0.86 | 0.77 | 0.64 | 0.70 | 0.65 | 0.60 | 0.31 | 0.47 | 0.54 | 0.58 | 0.55 | 0.91 | 0.94 | 1.05 | 1.29 | 1.74 | 1.15 | 0.69 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($445,000K
+ $—K
+ $187,100K)
÷ $825,900K
= 0.77
The quick ratio of Callaway Golf Company, as reflected in the provided data, fluctuated over the period analyzed. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
The quick ratio started at a relatively low level of 0.69 on March 31, 2020, indicating a potential liquidity concern. However, it showed an improvement in the subsequent quarters, reaching a peak of 1.74 on September 30, 2020, which suggests that the company had sufficient liquid assets to cover its current liabilities with some comfort.
Despite this improvement, the quick ratio experienced some volatility throughout the following quarters. The ratio decreased to 0.47 on September 30, 2022, which could be a sign of potential liquidity challenges. It then recovered slightly but remained below 1, which indicates that the company may have had some difficulty meeting its short-term obligations solely with its highly liquid assets.
Overall, the trend in the quick ratio of Callaway Golf Company suggests fluctuations in its liquidity position over time. Investors and stakeholders should continue to monitor this ratio along with other financial metrics to assess the company's ability to manage its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024