Xpel Inc (XPEL)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 146,454 | 138,038 | 125,655 | 120,312 | 106,821 | 104,642 | 107,566 | 104,011 | 79,028 | 65,994 | 50,295 | 72,549 | 62,777 | 57,957 | 49,821 | 43,257 | 36,281 | 33,081 | 29,641 |
| Total current liabilities | US$ in thousands | 36,472 | 46,545 | 35,396 | 27,630 | 27,402 | 31,815 | 40,419 | 47,098 | 36,268 | 34,987 | 25,000 | 26,109 | 21,200 | 20,900 | 19,108 | 14,785 | 11,786 | 12,775 | 13,468 |
| Current ratio | 4.02 | 2.97 | 3.55 | 4.35 | 3.90 | 3.29 | 2.66 | 2.21 | 2.18 | 1.89 | 2.01 | 2.78 | 2.96 | 2.77 | 2.61 | 2.93 | 3.08 | 2.59 | 2.20 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $146,454K ÷ $36,472K
= 4.02
The current ratio of XPEL Inc has shown fluctuations over the past eight quarters. Generally, a current ratio above 2 indicates that a company has more current assets than current liabilities, suggesting good short-term financial health. XPEL's current ratio has consistently been above 2, indicating a strong ability to meet its short-term obligations.
The current ratio peaked at 4.35 in Q1 2023, which reflects that XPEL had more than $4 in current assets for every $1 in current liabilities. This suggests a very strong liquidity position. However, the current ratio decreased in subsequent quarters, reaching its lowest point at 2.21 in Q1 2022. Despite this fluctuation, the current ratio has generally remained above 2, indicating the company's ability to cover its short-term liabilities.
The decreasing trend from Q1 2023 to Q2 2023 followed by an increase in Q4 2023 may indicate variations in the company's current asset and liability management. Investors and analysts may want to further investigate the factors driving these fluctuations to assess the company's liquidity and short-term financial stability. Overall, the current ratio trend suggests that XPEL Inc has maintained a solid liquidity position over the analyzed quarters.