Resideo Technologies Inc (REZI)
Quick ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 636,000 | 368,000 | 381,000 | 292,000 | 326,000 | 252,000 | 251,000 | 244,000 | 775,000 | 686,000 | 579,000 | 508,000 | 517,000 | 260,000 | 362,000 | 338,000 | 122,000 | 132,000 | 142,000 | 212,000 |
| Short-term investments | US$ in thousands | — | 23,000 | 23,000 | 21,000 | 23,000 | 18,000 | — | — | 4,000 | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 973,000 | 988,000 | 1,043,000 | 985,000 | 1,002,000 | — | — | — | 876,000 | — | — | — | 863,000 | 884,000 | 704,000 | 820,000 | 817,000 | 845,000 | 835,000 | 838,000 |
| Total current liabilities | US$ in thousands | 1,525,000 | 1,467,000 | 1,524,000 | 1,469,000 | 1,546,000 | 1,542,000 | 1,579,000 | 1,546,000 | 1,494,000 | 1,532,000 | 1,511,000 | 1,446,000 | 1,538,000 | 1,645,000 | 1,662,000 | 1,755,000 | 1,494,000 | 1,551,000 | 1,559,000 | 1,559,000 |
| Quick ratio | 1.06 | 0.94 | 0.95 | 0.88 | 0.87 | 0.18 | 0.16 | 0.16 | 1.11 | 0.45 | 0.38 | 0.35 | 0.90 | 0.70 | 0.64 | 0.66 | 0.63 | 0.63 | 0.63 | 0.67 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($636,000K
+ $—K
+ $973,000K)
÷ $1,525,000K
= 1.06
The quick ratio of Resideo Technologies Inc has shown an improving trend over the past eight quarters. The quick ratio measures the company's ability to meet its short-term liabilities with its most liquid assets, excluding inventory.
In Q4 2023, the quick ratio was 1.18, indicating that the company had $1.18 in liquid assets available to cover each $1 of its current liabilities. This is a positive sign as it suggests the company has a strong ability to meet its short-term obligations without relying heavily on inventory.
The quick ratio has generally increased from 0.92 in Q1 2022 to 1.18 in Q4 2023, reflecting a strengthening liquidity position over time. This improvement suggests that the company's liquidity management has been effective and it may be better positioned to weather unexpected financial challenges.
Overall, the increasing trend in Resideo Technologies Inc's quick ratio indicates improving liquidity and financial health, which could potentially enhance the company's ability to manage its short-term obligations efficiently.