Xpel Inc (XPEL)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 22,087 | 11,609 | 8,056 | 9,644 | 29,027 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 41,518 | 36,472 | 27,402 | 36,268 | 21,200 |
| Quick ratio | 0.53 | 0.32 | 0.29 | 0.27 | 1.37 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($22,087K
+ $—K
+ $—K)
÷ $41,518K
= 0.53
The quick ratio of Xpel Inc has shown fluctuations over the years. Starting from 1.37 in December 31, 2020, the quick ratio has declined significantly to 0.27 by December 31, 2021. This sharp drop indicates that the company may face challenges in meeting its short-term obligations with its most liquid assets only. However, there has been a slight improvement in the quick ratio over the following years, reaching 0.53 by December 31, 2024. Despite the increase, the quick ratio still remains below 1, suggesting that Xpel Inc may continue to have difficulty covering its current liabilities with its quick assets alone. Further monitoring and analysis of the company's liquidity position would be advisable to assess its ability to pay off short-term debts efficiently.