Cabot Corporation (CBT)
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 | 244,000 | 238,000 | 220,000 | 205,000 | 190,000 | 206,000 | 208,000 | 215,000 | 179,000 | 168,000 | 173,000 | 146,000 | 147,000 | 151,000 | 162,000 | 142,000 | 173,000 | 169,000 | 147,000 | 176,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 726,000 | 695,000 | 688,000 | 767,000 | 779,000 | 836,000 | 876,000 | 791,000 | 660,000 | 645,000 | 633,000 | 578,000 | 513,000 | 418,000 | 362,000 | 462,000 | 485,000 | 530,000 | 611,000 | 555,000 |
| Total current liabilities | US$ in thousands | 830,000 | 822,000 | 738,000 | 904,000 | 984,000 | 1,105,000 | 1,100,000 | 1,407,000 | 1,327,000 | 1,147,000 | 704,000 | 647,000 | 570,000 | 529,000 | 494,000 | 563,000 | 574,000 | 599,000 | 645,000 | 1,133,000 |
| Quick ratio | 1.17 | 1.14 | 1.23 | 1.08 | 0.98 | 0.94 | 0.99 | 0.71 | 0.63 | 0.71 | 1.14 | 1.12 | 1.16 | 1.08 | 1.06 | 1.07 | 1.15 | 1.17 | 1.18 | 0.65 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($244,000K
+ $—K
+ $726,000K)
÷ $830,000K
= 1.17
The quick ratio of Cabot Corp. has varied over the past eight quarters, ranging from 0.81 in Q2 2022 to 1.37 in Q3 2023. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
A quick ratio above 1 indicates that Cabot Corp. has sufficient liquid assets to cover its current liabilities. The increasing trend from Q2 2022 to Q3 2023 suggests an improvement in the company's short-term liquidity position. However, the slight decrease in Q4 2023 compared to the previous quarter indicates a potential tightening of liquidity in the most recent period.
Overall, while the quick ratio of Cabot Corp. has shown some fluctuations, it generally indicates that the company has been able to meet its short-term obligations with its liquid assets, with room for improvement in maintaining a more stable liquidity position over time.
Peer comparison
Dec 31, 2023