AbbVie Inc (ABBV)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 12,814,000 | 13,287,000 | 8,759,000 | 6,711,000 | 9,201,000 | 11,832,000 | 8,521,000 | 6,098,000 | 9,746,000 | 12,182,000 | 8,546,000 | 9,755,000 | 8,449,000 | 7,890,000 | 6,017,000 | 41,142,000 | 39,924,000 | 10,648,000 | 5,172,000 | 4,897,000 |
| Short-term investments | US$ in thousands | 2,000 | 3,000 | 7,000 | 11,000 | 28,000 | 47,000 | 1,440,000 | 1,474,000 | 84,000 | 67,000 | 54,000 | 22,000 | 30,000 | 60,000 | 23,000 | — | 0 | 0 | 244,000 | 331,000 |
| Total current liabilities | US$ in thousands | 37,841,000 | 34,773,000 | 32,239,000 | 27,590,000 | 29,538,000 | 32,712,000 | 34,473,000 | 32,521,000 | 35,194,000 | 28,533,000 | 28,684,000 | 31,951,000 | 28,661,000 | 24,181,000 | 24,646,000 | 16,471,000 | 15,585,000 | 17,493,000 | 16,941,000 | 13,904,000 |
| Cash ratio | 0.34 | 0.38 | 0.27 | 0.24 | 0.31 | 0.36 | 0.29 | 0.23 | 0.28 | 0.43 | 0.30 | 0.31 | 0.30 | 0.33 | 0.25 | 2.50 | 2.56 | 0.61 | 0.32 | 0.38 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($12,814,000K
+ $2,000K)
÷ $37,841,000K
= 0.34
The cash ratio is a liquidity ratio that measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents. Abbvie Inc's cash ratio fluctuated over the past eight quarters, ranging from 0.38 to 0.51.
In Q4 2023, the cash ratio was 0.47, indicating that Abbvie had $0.47 in cash and cash equivalents for every dollar of short-term liabilities. This suggests a relatively healthy liquidity position, although there was a slight decrease compared to the previous quarter.
Overall, Abbvie's cash ratio has generally been above 0.40 in recent quarters, indicating that the company has sufficient cash to meet its short-term obligations. However, it's essential to monitor future trends in the cash ratio to ensure that Abbvie maintains its liquidity position effectively.
Peer comparison
Dec 31, 2023