Baxter International Inc (BAX)

Quick 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 US$ in thousands 3,194,000 5,788,000 1,722,000 1,673,000 1,718,000 1,601,000 1,852,000 2,294,000 2,951,000 3,258,000 3,136,000 3,182,000 3,730,000 4,359,000 4,085,000 4,110,000 3,335,000 3,009,000 2,934,000 1,902,000
Short-term investments US$ in thousands 48,000 42,000 15,000 6,000
Receivables US$ in thousands 2,880,000 2,512,000 2,495,000 2,547,000 2,848,000 2,555,000 -125,000 -129,000 2,828,000 -115,000 -117,000 -120,000 2,240,000 -122,000 -120,000 -114,000 2,036,000
Total current liabilities US$ in thousands 6,503,000 6,209,000 5,765,000 4,760,000 4,745,000 3,708,000 3,916,000 3,890,000 4,236,000 3,441,000 3,344,000 3,187,000 3,333,000 3,422,000 2,880,000 3,036,000 3,230,000 2,611,000 2,557,000 3,276,000
Quick ratio 0.93 1.34 0.73 0.89 0.96 1.12 0.45 0.56 1.36 0.93 0.90 0.96 1.79 1.24 1.38 1.32 1.66 1.15 1.15 0.58

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($3,194,000K + $—K + $2,880,000K) ÷ $6,503,000K
= 0.93

The quick ratio of Baxter International Inc. fluctuated over the last eight quarters, ranging from 0.88 to 1.48. The quick ratio measures a company's ability to meet its short-term obligations using its most liquid assets.

In Q3 2023, the quick ratio was notably high at 1.48, indicating a strong ability to cover short-term liabilities with liquid assets. However, in Q2 2023, the quick ratio dropped to 0.88, which could raise concerns about the company's short-term liquidity position.

Overall, the quick ratio for Baxter International Inc. has shown some variability, but it generally remained above 1, except for Q2 2023. This suggests that the company has generally been able to meet its short-term obligations comfortably with its liquid assets.

It would be advisable for investors and stakeholders to further investigate the reasons behind the fluctuations in the quick ratio and assess whether they are indicative of any underlying issues in the company's liquidity management.


Peer comparison

Dec 31, 2023


See also:

Baxter International Inc Quick Ratio (Quarterly Data)