Name: Quick Ratio

Definition: The quick ratio is like an emergency response measure: can the company pay off short-term debts without selling any inventory? It only counts cash, short-term investments, and receivables — assets that can quickly be turned into cash. A healthy quick ratio shows strong liquidity. A very low quick ratio means the company depends on selling inventory to meet short-term obligations — which can be risky if sales unexpectedly slow down.

Interpretation:
• In '2020', LASE's quick ratio was 1.05, providing a stringent test of short-term liquidity. Industry average for Industrial Machinery/Components in '2020' stood at 0.55.
• In '2021', LASE's quick ratio was 1.78, providing a stringent test of short-term liquidity. The increase since '2020' reflects strengthening financial performance. Industry average for Industrial Machinery/Components in '2021' stood at 2.09. Industry average increased by 1.54 compared to previous year.
• In '2022', LASE's quick ratio was 13.07, providing a stringent test of short-term liquidity. The increase since '2021' reflects strengthening financial performance. Industry average for Industrial Machinery/Components in '2022' stood at 1.82. Industry average declined by 0.27 from previous year.
• In '2023', LASE's quick ratio was 6.80, providing a stringent test of short-term liquidity. The decline from '2022' may indicate some operational or financial challenges. Industry average for Industrial Machinery/Components in '2023' stood at 1.73. Industry average declined by 0.08 from previous year.
Overall, LASE's quick ratio has been volatile but showed an upward trend over the past 4 years.

Formula: Quick Ratio = (Current Assets - Inventory) / Current Liabilities

Good Range: Normally between 0.8 and 1.5.