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. Kawan Food Bhd's quick ratio for the quarter that ended in Dec. 2023 was 3.68.
Kawan Food Bhd has a quick ratio of 3.68. It generally indicates good short-term financial strength.
The historical rank and industry rank for Kawan Food Bhd's Quick Ratio or its related term are showing as below:
XKLS:7216'
s Quick Ratio Range Over the Past 10 Years
Min: 2.35 Med: 2.99 Max: 3.68
Current: 3.68
During the past 13 years, Kawan Food Bhd's highest Quick Ratio was 3.68. The lowest was 2.35. And the median was 2.99.
XKLS:7216's Quick Ratio is ranked better than 88.62% of 1915
companies
in the Consumer Packaged Goods industry
Industry Median: 1.05
vs XKLS:7216: 3.68
Kawan Food Bhd Quick Ratio Historical Data
The historical data trend for Kawan Food Bhd'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.
Competitive Comparison of Kawan Food Bhd's Quick Ratio
For the Packaged Foods subindustry, Kawan Food Bhd'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.
Kawan Food Bhd's Quick Ratio Distribution in the Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Kawan Food Bhd's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Kawan Food Bhd's Quick Ratio falls into.
Kawan Food Bhd 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.
Kawan Food Bhd's Quick Ratio for the fiscal year that ended in Dec. 2023 is calculated as
* 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.
Kawan Food Bhd (XKLS:7216) 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.
Kawan Food Bhd Quick Ratio Related Terms
Thank you for viewing the detailed overview of Kawan Food Bhd's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Kawan Food Bhd is an investment holding company principally engaged in the business of manufacturing and selling frozen food products. The product portfolio includes Bakery, Bun, Chapatti, Dessert, Finger Food, Frozen Vegetable, Paratha and Spring Roll Pastry and others. The company produce and sell food under the brands of Kawan, KG Pastry, Veat, PassionBake and Aman, of which Kawan remains its key brand. The group is also involved in the other businesses of investment property and rental of trucks; food truck operator and others. Its geographical segments include Malaysia, North America, Rest of Asia, Europe, Oceania, and Africa.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
XKLS:7216 has been successfully added to your 