Novanta Inc (NOVT)
Current 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 433,648 | 436,934 | 424,791 | 428,816 | 415,297 | 391,322 | 414,343 | 404,793 | 420,519 | 407,735 | 399,367 | 375,379 | 373,825 | 353,312 | 335,747 | 309,117 | 304,173 | 302,832 | 310,377 | 296,885 |
| Total current liabilities | US$ in thousands | 167,791 | 156,600 | 153,470 | 151,406 | 139,175 | 138,389 | 135,978 | 142,353 | 164,522 | 158,057 | 198,400 | 182,975 | 183,938 | 187,974 | 126,554 | 117,377 | 114,229 | 133,553 | 129,277 | 135,416 |
| Current ratio | 2.58 | 2.79 | 2.77 | 2.83 | 2.98 | 2.83 | 3.05 | 2.84 | 2.56 | 2.58 | 2.01 | 2.05 | 2.03 | 1.88 | 2.65 | 2.63 | 2.66 | 2.27 | 2.40 | 2.19 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $433,648K ÷ $167,791K
= 2.58
Novanta Inc's current ratio has been relatively stable over the past few years, ranging between 1.88 and 3.05. The company maintained a solid current ratio above 2.00 for the most part, indicating a healthy ability to cover its short-term obligations with its current assets. Notably, the current ratio peaked at 3.05 on June 30, 2023, suggesting that Novanta had a strong liquidity position at that time.
However, there was a slight decline in the current ratio in the following periods, with a trough of 1.88 on September 30, 2021. This lower ratio may indicate potential challenges in meeting short-term obligations with current assets during that period. Nevertheless, the ratio bounced back and generally remained above 2.00 in the subsequent quarters, reflecting improved short-term liquidity.
Overall, Novanta Inc's current ratio trend suggests that the company has maintained a healthy balance between its current assets and current liabilities, with occasional fluctuations that were managed effectively to ensure adequate liquidity.
Peer comparison
Dec 31, 2024