AbbVie Inc (ABBV)
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 | 5,524,000 | 7,257,000 | 13,130,000 | 18,067,000 | 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 |
| Short-term investments | US$ in thousands | 31,000 | 28,000 | 27,000 | 2,000 | 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 | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 38,749,000 | 43,062,000 | 41,915,000 | 41,522,000 | 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 |
| Quick ratio | 0.14 | 0.17 | 0.31 | 0.44 | 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 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($5,524,000K
+ $31,000K
+ $—K)
÷ $38,749,000K
= 0.14
The quick ratio of AbbVie Inc has exhibited fluctuations over the reported periods. The ratio started at a relatively high level of 2.50 as of March 31, 2020, indicating a strong ability to cover short-term obligations with its most liquid assets. However, there was a significant decline in the quick ratio to 0.25 by June 30, 2020, reflecting a potential liquidity strain.
Subsequently, there were modest improvements in the quick ratio to 0.33 by September 30, 2020, and 0.30 by December 31, 2020. However, the ratio remained below 1 during these periods, suggesting a limited ability to meet short-term liabilities without relying on inventory.
The quick ratio continued to fluctuate around the 0.30 range in the following periods, with slight variations. Notably, there was an increase to 0.43 by September 30, 2021, indicating a temporary strengthening of liquidity position. However, the ratio decreased to 0.28 by December 31, 2021, and further to 0.23 by March 31, 2022, signaling potential liquidity challenges.
Subsequent periods showed mixed results with some improvements and declines in the quick ratio. The ratio reached its peak at 0.44 by March 31, 2024, suggesting a temporary enhancement in liquidity. However, there was a notable decline to 0.14 by December 31, 2024, implying a significant strain on the company's ability to cover short-term liabilities with its liquid assets.
Overall, the fluctuating trend of AbbVie Inc's quick ratio over the reported periods indicates variability in the company's ability to meet its short-term obligations with its readily available assets, highlighting the importance of closely monitoring liquidity management strategies.
Peer comparison
Dec 31, 2024