PDF Solutions Inc (PDFS)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 90,594 | 98,978 | 119,624 | 27,684 | 30,315 |
| Short-term investments | US$ in thousands | 24,291 | 36,544 | 19,557 | 112,542 | 114,981 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 60,542 | 50,843 | 58,200 | 43,826 | 42,205 |
| Quick ratio | 1.90 | 2.67 | 2.39 | 3.20 | 3.44 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($90,594K
+ $24,291K
+ $—K)
÷ $60,542K
= 1.90
The quick ratio of PDF Solutions Inc has shown a declining trend over the past five years, decreasing from 3.44 in December 31, 2020, to 1.90 in December 31, 2024. This indicates that the company may have experienced challenges in converting its current assets into cash quickly to cover its current liabilities. Although the quick ratio is still above 1 in each year, suggesting that the company has an adequate level of liquid assets to cover its short-term obligations, the downward trajectory warrants attention. Management may need to assess the efficiency of its current asset management and liquidity position to ensure the company's ability to meet its short-term financial obligations in the future.
Peer comparison
Dec 31, 2024