Alcoa Corp (AA)
Quick ratio
Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cash | US$ in thousands | 1,138,000 | 1,313,000 | 1,396,000 | 1,358,000 | 976,000 | 926,000 | 990,000 | 1,138,000 | 1,363,000 | 1,432,000 | 1,638,000 | 1,554,000 | 1,814,000 | 1,452,000 | 1,652,000 | 2,544,000 | 1,607,000 | 1,736,000 | 965,000 | 829,000 |
Short-term investments | US$ in thousands | — | 5,000 | 38,000 | 22,000 | 29,000 | 33,000 | 93,000 | 106,000 | -21,000 | 207,000 | 224,000 | — | — | 1,146,000 | 1,113,000 | 1,055 | 1,051 | 1,034 | — | — |
Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Total current liabilities | US$ in thousands | 3,395,000 | 3,459,000 | 3,166,000 | 3,041,000 | 3,030,000 | 2,624,000 | 2,596,000 | 2,785,000 | 3,004,000 | 2,954,000 | 3,236,000 | 3,466,000 | 3,223,000 | 2,929,000 | 2,671,000 | 3,221,000 | 2,761,000 | 2,276,000 | 2,241,000 | 2,223,000 |
Quick ratio | 0.34 | 0.38 | 0.45 | 0.45 | 0.33 | 0.37 | 0.42 | 0.45 | 0.45 | 0.55 | 0.58 | 0.45 | 0.56 | 0.89 | 1.04 | 0.79 | 0.58 | 0.76 | 0.43 | 0.37 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,138,000K
+ $—K
+ $—K)
÷ $3,395,000K
= 0.34
The quick ratio of Alcoa Corp has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term liabilities.
The quick ratio started at a low of 0.37 on March 31, 2020, indicating a potential liquidity issue, but gradually improved over time, reaching a peak of 1.04 on June 30, 2021. This improvement suggests that Alcoa Corp was better able to cover its short-term liabilities with its quick assets during this period.
However, the quick ratio dipped again to 0.33 by December 31, 2023, before slightly recovering to 0.34 by December 31, 2024. These lower ratios indicate a potential decrease in the company's ability to meet its short-term obligations with its quick assets, which may signal liquidity challenges.
Overall, it is important for Alcoa Corp to closely monitor its quick ratio to ensure it maintains a healthy level of liquidity to meet its short-term financial commitments.
Peer comparison
Dec 31, 2024