Baker Hughes Co (BKR)
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 | 3,364,000 | 2,664,000 | 2,284,000 | 2,717,000 | 2,646,000 | 3,201,000 | 2,805,000 | 1,866,000 | 1,883,000 | 2,240,000 | 2,264,000 | 2,572,000 | 3,252,000 | 3,235,000 | 3,274,000 | 3,776,000 | 3,445,000 | 3,258,000 | 3,297,000 | 2,006,000 |
| Short-term investments | US$ in thousands | 1,281,000 | 1,148,000 | 1,039,000 | 1,014,000 | 975,000 | 1,052,000 | 1,044,000 | 1,094,000 | 748,000 | 848,000 | 912,000 | 1,042,000 | 1,033,000 | 403,000 | 544,000 | 714,000 | 1,502,000 | 2,000 | 2,000 | 2,000 |
| Receivables | US$ in thousands | 7,122,000 | 6,920,000 | 7,051,000 | 6,873,000 | 7,075,000 | 6,505,000 | 6,418,000 | 6,291,000 | 5,958,000 | 5,583,000 | 5,572,000 | 5,738,000 | 5,651,000 | 5,326,000 | 5,407,000 | 5,263,000 | 5,622,000 | 5,647,000 | 5,636,000 | 6,148,000 |
| Total current liabilities | US$ in thousands | 12,991,000 | 12,790,000 | 12,586,000 | 13,179,000 | 12,991,000 | 12,681,000 | 12,311,000 | 11,618,000 | 11,075,000 | 9,465,000 | 9,375,000 | 9,142,000 | 9,128,000 | 9,354,000 | 9,805,000 | 9,958,000 | 10,227,000 | 10,639,000 | 10,567,000 | 10,141,000 |
| Quick ratio | 0.91 | 0.84 | 0.82 | 0.80 | 0.82 | 0.85 | 0.83 | 0.80 | 0.78 | 0.92 | 0.93 | 1.02 | 1.09 | 0.96 | 0.94 | 0.98 | 1.03 | 0.84 | 0.85 | 0.80 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($3,364,000K
+ $1,281,000K
+ $7,122,000K)
÷ $12,991,000K
= 0.91
The quick ratio of Baker Hughes Co has exhibited some fluctuations over the years. From March 31, 2020, to December 31, 2022, the quick ratio remained mostly below 1, indicating that the company may have had difficulties meeting its short-term obligations with its liquid assets alone during those periods.
However, starting from March 31, 2023, there was a gradual improvement in the quick ratio, reaching 1.02 by March 31, 2022, and peaking at 1.09 by December 31, 2021. This upward trend suggests that the company strengthened its ability to cover its short-term liabilities with its most liquid assets.
Subsequently, there was a slight decline in the quick ratio to 0.78 by December 31, 2022, but it then stabilized around the range of 0.80 to 0.84 from March 31, 2023, to September 30, 2024. While the quick ratio fluctuated within this range, it generally indicates that Baker Hughes Co had an adequate level of liquidity to meet its short-term obligations during this period, although it remained below the ideal ratio of 1.
Overall, the fluctuating trend in the quick ratio of Baker Hughes Co highlights the company's varying ability to cover its short-term obligations with its readily available liquid assets over the analyzed period.
Peer comparison
Dec 31, 2024