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HELLA GmbH KGaA (LTS:0R3U) Quick Ratio : 1.05 (As of Jun. 2024)


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What is HELLA GmbH KGaA Quick Ratio?

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. HELLA GmbH KGaA's quick ratio for the quarter that ended in Jun. 2024 was 1.05.

HELLA GmbH KGaA has a quick ratio of 1.05. It generally indicates good short-term financial strength.

The historical rank and industry rank for HELLA GmbH KGaA's Quick Ratio or its related term are showing as below:

LTS:0R3U' s Quick Ratio Range Over the Past 10 Years
Min: 0.91   Med: 1.44   Max: 1.78
Current: 1.05

During the past 13 years, HELLA GmbH KGaA's highest Quick Ratio was 1.78. The lowest was 0.91. And the median was 1.44.

LTS:0R3U's Quick Ratio is ranked worse than
50.15% of 1308 companies
in the Vehicles & Parts industry
Industry Median: 1.06 vs LTS:0R3U: 1.05

HELLA GmbH KGaA Quick Ratio Historical Data

The historical data trend for HELLA GmbH KGaA's Quick Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

HELLA GmbH KGaA Quick Ratio Chart

HELLA GmbH KGaA Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 Dec23
Quick Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.32 1.44 1.50 1.16 0.98

HELLA GmbH KGaA Quarterly Data
Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
Quick Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.94 0.91 0.98 1.03 1.05

Competitive Comparison of HELLA GmbH KGaA's Quick Ratio

For the Auto Parts subindustry, HELLA GmbH KGaA's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


HELLA GmbH KGaA's Quick Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, HELLA GmbH KGaA's Quick Ratio distribution charts can be found below:

* The bar in red indicates where HELLA GmbH KGaA's Quick Ratio falls into.



HELLA GmbH KGaA Quick Ratio Calculation

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.

HELLA GmbH KGaA's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Quick Ratio (A: Dec. 2023 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(3756.909-1124.531)/2681.579
=0.98

HELLA GmbH KGaA's Quick Ratio for the quarter that ended in Jun. 2024 is calculated as

Quick Ratio (Q: Jun. 2024 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(4096.783-1216.423)/2742.209
=1.05

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


HELLA GmbH KGaA  (LTS:0R3U) Quick Ratio Explanation

The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.

In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.

The higher the quick ratio, the better the company's liquidity position.


HELLA GmbH KGaA Quick Ratio Related Terms

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HELLA GmbH KGaA Business Description

Traded in Other Exchanges
Address
Rixbecker Strasse 75, Lippstadt, NW, DEU, 59552
HELLA GmbH & Co KGaA is a manufacturer of lighting and electronic components and systems for the automotive industry. The company also produces complete vehicle modules, air-conditioning systems, and vehicle electrical systems in its joint-venture companies, as well as products for specialist vehicles. Further, Hella operates a trade organisation for automotive parts, accessories, diagnosis, and services in Europe. The company is controlled through a pooled family majority shareholding in the group. The company has three reportable segments which are Lighting, Electronics and Lifecycle Solutions. The company generates majority of the revenue from Lighting segment.

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