Proto Labs Inc (PRLB)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 89,071 | 83,790 | 56,558 | 65,929 | 127,603 |
| Short-term investments | US$ in thousands | 14,019 | 19,013 | 23,568 | 11,580 | 34,088 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 53,271 | 49,681 | 71,581 | 54,896 | 50,254 |
| Quick ratio | 1.94 | 2.07 | 1.12 | 1.41 | 3.22 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($89,071K
+ $14,019K
+ $—K)
÷ $53,271K
= 1.94
The quick ratio of Proto Labs Inc has exhibited some fluctuations over the years. As of December 31, 2020, the quick ratio was strong at 3.22, indicating a healthy level of liquidity to cover short-term obligations. However, by December 31, 2022, the quick ratio decreased to 1.12, which could suggest a potential liquidity challenge as the company may have had difficulty meeting immediate financial demands with its most liquid assets.
Subsequently, there was a slight improvement in the quick ratio by December 31, 2023, reaching 2.07, indicating a better ability to cover short-term liabilities. However, by December 31, 2024, the quick ratio decreased to 1.94, which although lower than the previous year, still reflects a reasonable level of liquidity and ability to meet short-term obligations efficiently.
Overall, the fluctuating trend in Proto Labs Inc's quick ratio over the years may indicate periods of varying efficiency in managing its short-term liquidity position. It is crucial for the company to continue monitoring and managing its liquidity effectively to ensure financial stability and meet its short-term obligations promptly.
Peer comparison
Dec 31, 2024