N-Able Inc (NABL)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 85,196 | 174,445 | 157,509 | 139,227 | 153,048 | 127,433 | 109,190 | 98,080 | 98,847 | 87,729 | 86,618 | 70,439 | 66,736 | 61,572 | 49,600 | 111,218 | 99,790 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 598,196 | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 150,098 | 93,778 | 84,969 | 73,759 | 81,717 | 79,626 | 73,623 | 63,851 | 61,814 | 59,421 | 58,481 | 56,063 | 60,878 | 57,962 | 57,701 | 61,378 | 54,827 |
| Quick ratio | 0.57 | 1.86 | 1.85 | 1.89 | 1.87 | 1.60 | 1.48 | 1.54 | 1.60 | 1.48 | 1.48 | 1.26 | 1.10 | 1.06 | 11.23 | 1.81 | 1.82 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($85,196K
+ $—K
+ $—K)
÷ $150,098K
= 0.57
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated by dividing a company's liquid assets (such as cash, marketable securities, and accounts receivable) by its current liabilities.
Based on the data provided for N-Able Inc's quick ratio from December 31, 2020, to December 31, 2024, we observe fluctuations in the quick ratio over time. The quick ratio ranged from a high of 11.23 on June 30, 2021, to a low of 0.57 on December 31, 2024.
A quick ratio above 1 indicates that a company has more than enough liquid assets to cover its short-term obligations. In the case of N-Able Inc, the quick ratio generally stayed above 1 throughout the period, reflecting a healthy liquidity position.
It is worth noting that a quick ratio that is too high may suggest that the company is not efficiently utilizing its current assets, while a quick ratio that is too low may indicate potential liquidity issues and difficulty in meeting short-term obligations.
Overall, N-Able Inc's quick ratio fluctuated over the period but generally remained above 1, indicating that the company has had sufficient liquid assets to meet its short-term obligations. However, the significant decrease in the quick ratio from 1.87 on December 31, 2023, to 0.57 on December 31, 2024, may warrant further investigation into the company's liquidity management.
Peer comparison
Dec 31, 2024