Robert Half International Inc (RHI)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 537,583 | 731,740 | 658,626 | 619,001 | 574,426 |
| Short-term investments | US$ in thousands | — | 28,616 | — | — | — |
| Receivables | US$ in thousands | 772,285 | 860,872 | 1,018,290 | 984,691 | 714,163 |
| Total current liabilities | US$ in thousands | 1,285,740 | 1,235,110 | 1,216,200 | 1,358,670 | 1,046,630 |
| Quick ratio | 1.02 | 1.31 | 1.38 | 1.18 | 1.23 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($537,583K
+ $—K
+ $772,285K)
÷ $1,285,740K
= 1.02
The quick ratio, also known as the acid-test ratio, assesses a company's ability to cover its short-term liabilities with its most liquid assets. For Robert Half International Inc, the quick ratio has exhibited fluctuations over the past five years.
As of December 31, 2020, the quick ratio stood at 1.23, indicating that the company had $1.23 in liquid assets available to cover each dollar of current liabilities. By the end of 2021, the quick ratio slightly declined to 1.18, suggesting a potential decrease in liquidity compared to the previous year.
However, the company's liquidity position improved significantly by December 31, 2022, as the quick ratio surged to 1.38, signaling a stronger ability to meet short-term obligations with liquid assets. In the following year, by December 31, 2023, the quick ratio remained favorable at 1.31, maintaining a relatively stable liquidity position.
The most recent data point, as of December 31, 2024, shows a decrease in the quick ratio to 1.02. This decrease may raise concerns about the company's short-term liquidity, as it suggests a lower ability to cover immediate liabilities with liquid assets compared to previous years.
Overall, the analysis of Robert Half International Inc's quick ratio indicates fluctuations in liquidity over the past five years. It is essential for stakeholders to closely monitor changes in the quick ratio to assess the company's ability to meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024