Tennant Company (TNC)
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 | 99,600 | 91,300 | 84,600 | 88,800 | 116,900 | 97,000 | 95,800 | 91,400 | 77,400 | 59,200 | 73,800 | 110,400 | 123,600 | 140,600 | 135,100 | 175,200 | 141,000 | 124,700 | 99,300 | 192,100 |
| Short-term investments | US$ in thousands | — | — | 1,100 | 1,100 | 800 | 1,500 | 1,400 | 700 | 800 | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 292,200 | 273,500 | 266,200 | 260,400 | 273,700 | 244,800 | 257,800 | 256,800 | 261,600 | 244,200 | 264,900 | 266,400 | 290,300 | 276,200 | 284,300 | 277,200 | 254,300 | 244,300 | 251,500 | 225,100 |
| Quick ratio | 0.34 | 0.33 | 0.32 | 0.35 | 0.43 | 0.40 | 0.38 | 0.36 | 0.30 | 0.24 | 0.28 | 0.41 | 0.43 | 0.51 | 0.48 | 0.63 | 0.55 | 0.51 | 0.39 | 0.85 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($99,600K
+ $—K
+ $—K)
÷ $292,200K
= 0.34
The quick ratio of Tennant Company, which measures the company's ability to meet its short-term obligations with its most liquid assets, has shown fluctuations over the given period. From March 31, 2020, where it stood at 0.85, the ratio decreased sharply to 0.39 by June 30, 2020, indicating a potential liquidity concern. Subsequently, there were periods of improvement and decline, with the ratio ranging between 0.28 to 0.51 until December 31, 2022.
From March 31, 2023, the quick ratio started to stabilize, showing values in the range of 0.35 to 0.43 up to December 31, 2024. It is important to note that a quick ratio of less than 1 indicates that the company may have difficulty meeting its short-term obligations using only its most liquid assets. Therefore, Tennant Company should continue to monitor and manage its liquidity position to ensure it can honor its short-term commitments effectively.
Peer comparison
Dec 31, 2024