USANA Health Sciences Inc (USNA)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 330,420 | 288,420 | 239,832 | 311,917 | 234,830 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 7,201 | 7,213 | 7,163 | 7,420 | 8,762 |
| Total current liabilities | US$ in thousands | 118,845 | 143,833 | 160,790 | 168,073 | 136,098 |
| Quick ratio | 2.84 | 2.06 | 1.54 | 1.90 | 1.79 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($330,420K
+ $—K
+ $7,201K)
÷ $118,845K
= 2.84
The quick ratio of USANA Health Sciences Inc has shown a positive trend over the past five years. The quick ratio increased from 1.79 in 2019 to 2.84 in 2023, indicating that the company's ability to meet its short-term obligations with its most liquid assets has significantly improved.
A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its current liabilities. A higher quick ratio suggests a stronger liquidity position, as seen in the case of USANA Health Sciences Inc. The quick ratio exceeding 2 in 2023 shows a robust ability to cover short-term liabilities with liquid assets, reflecting a healthy financial position.
Overall, the increasing trend in the quick ratio of USANA Health Sciences Inc signifies improving liquidity and financial stability, which is essential for meeting its short-term obligations and sustaining its operations effectively.