Sensata Technologies Holding NV (ST)

Quick ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Cash	US$ in thousands	593,670	506,215	1,033,050	460,359	508,104	889,703	857,312	1,034,130	1,225,520	1,103,920	1,558,580	1,608,480	1,708,960	1,958,140	1,861,770	1,893,930	1,861,980	1,610,190	1,242,950	802,971
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Receivables	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	711,358	806,882	1,521,460	793,969	823,718	872,673	880,898	1,109,470	1,178,970	905,974	887,129	840,045	836,259	829,820	836,932	773,521	745,157	626,415	926,559	621,061
Quick ratio		0.83	0.63	0.68	0.58	0.62	1.02	0.97	0.93	1.04	1.22	1.76	1.91	2.04	2.36	2.22	2.45	2.50	2.57	1.34	1.29

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($593,670K + $—K + $—K) ÷ $711,358K
= 0.83

The quick ratio of Sensata Technologies Holding NV has been relatively healthy and stable over the past few years, indicating the company's ability to meet its short-term obligations using its most liquid assets. The quick ratio has shown a slight decreasing trend from 2.57 as of September 30, 2020, to 0.83 as of December 31, 2024.

The quick ratio exceeded 2 in several periods, signifying the company's strong liquidity position, as it had more than enough quick assets to cover its current liabilities. However, the ratio has declined since then, dropping below 1 in the most recent period, indicating that the company may have limited ability to meet its short-term obligations using its most liquid assets alone.

The decreasing trend in the quick ratio may raise concerns about the company's short-term liquidity position and ability to cover immediate financial obligations. It is important for stakeholders to monitor this ratio closely to ensure that Sensata Technologies Holding NV remains financially healthy and capable of meeting its short-term obligations.