Proto Labs Inc (PRLB)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 200,660 | 186,568 | 183,492 | 242,002 | 236,419 |
| Total current liabilities | US$ in thousands | 49,681 | 71,581 | 54,896 | 50,254 | 47,581 |
| Current ratio | 4.04 | 2.61 | 3.34 | 4.82 | 4.97 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $200,660K ÷ $49,681K
= 4.04
The current ratio of Proto Labs Inc has shown fluctuations over the past five years. As of December 31, 2023, the current ratio stands at 4.04, indicating that the company has $4.04 in current assets for every $1 in current liabilities. This represents a significant improvement from the previous year, where the current ratio was 2.61.
The current ratio of 4.04 suggests that Proto Labs Inc is in a strong liquidity position, with ample current assets to cover its short-term obligations. However, it is important to note that a very high current ratio may also indicate that the company is not efficiently utilizing its current assets.
Comparing the current ratio to previous years, we see that the ratio was higher in 2020 and 2019 at 4.82 and 4.97 respectively, indicating that the company had even stronger liquidity positions in those years. The lower current ratios in 2022 and 2021 at 2.61 and 3.34 respectively may have raised concerns about the company's ability to meet its short-term liabilities.
In conclusion, Proto Labs Inc's current ratio has varied over the years but has strengthened significantly in 2023. This suggests that the company has improved its ability to meet its short-term obligations and manage its liquidity effectively.
Peer comparison
Dec 31, 2023