Watts Water Technologies Inc (WTS)
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 | 386,900 | 303,900 | 279,400 | 237,100 | 350,100 | 362,700 | 291,900 | 311,800 | 310,800 | 219,500 | 230,000 | 226,800 | 242,000 | 238,700 | 240,100 | 225,400 | 218,900 | 188,300 | 148,700 | 245,400 |
| Short-term investments | US$ in thousands | — | — | — | 3,800 | 3,400 | 4,100 | 3,900 | 3,100 | 3,500 | 3,000 | 1,900 | 700 | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 417,900 | 417,500 | 424,600 | 407,300 | 405,800 | 380,300 | 404,800 | 396,200 | 378,700 | 378,500 | 421,100 | 404,800 | 408,500 | 417,800 | 395,800 | 345,200 | 312,800 | 295,200 | 278,900 | 379,300 |
| Quick ratio | 0.93 | 0.73 | 0.66 | 0.59 | 0.87 | 0.96 | 0.73 | 0.79 | 0.83 | 0.59 | 0.55 | 0.56 | 0.59 | 0.57 | 0.61 | 0.65 | 0.70 | 0.64 | 0.53 | 0.65 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($386,900K
+ $—K
+ $—K)
÷ $417,900K
= 0.93
The quick ratio of Watts Water Technologies Inc has fluctuated over the analyzed period. It started at a low of 0.53 on June 30, 2020, indicating the company may have had difficulty meeting its short-term obligations without relying on inventory. The ratio improved to 0.70 by December 31, 2020, suggesting a better ability to cover immediate liabilities with liquid assets.
There were further fluctuations in the quick ratio, reaching a low of 0.53 on June 30, 2021, before increasing to 0.83 by December 31, 2022. This significant improvement may indicate strengthened liquidity position or better management of current assets.
Despite the previous improvement, the ratio decreased to 0.59 by March 31, 2024, suggesting a slight reduction in the company's ability to meet short-term obligations with quickly liquidated assets. However, it increased to 0.93 by December 31, 2024, which could indicate a positive trend towards improved liquidity.
Overall, despite some fluctuations, the quick ratio of Watts Water Technologies Inc generally demonstrates the company's capacity to meet short-term liabilities with its most liquid assets, albeit with variations over time.
Peer comparison
Dec 31, 2024