Chesapeake Energy Corp (CHK)
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 | 1,079,000 | 713,000 | 903,000 | 130,000 | 130,000 | 74,000 | 17,000 | 19,000 | 905,000 | 849,000 | 612,000 | 340,000 | 279,000 | 306,000 | 82,000 | 82,000 | 6,000 | 14,000 | 4,000 | 8,000 |
| Short-term investments | US$ in thousands | 637,000 | 361,000 | 417,000 | 464,000 | 34,000 | 4,000 | 2,000 | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 593,000 | 685,000 | 671,000 | 864,000 | 1,438,000 | 1,757,000 | 1,804,000 | 1,383,000 | 1,115,000 | 815,000 | 674,000 | 704,000 | 746,000 | 676,000 | 513,000 | 762,000 | 990,000 | 977,000 | 1,021,000 | 1,196,000 |
| Total current liabilities | US$ in thousands | 1,314,000 | 1,614,000 | 1,651,000 | 1,898,000 | 2,704,000 | 4,238,000 | 4,241,000 | 4,392,000 | 2,447,000 | 2,510,000 | 1,866,000 | 1,443,000 | 3,094,000 | 3,105,000 | 2,389,000 | 2,260,000 | 2,392,000 | 2,348,000 | 2,220,000 | 2,930,000 |
| Quick ratio | 1.76 | 1.09 | 1.21 | 0.77 | 0.59 | 0.43 | 0.43 | 0.32 | 0.83 | 0.66 | 0.69 | 0.72 | 0.33 | 0.32 | 0.25 | 0.37 | 0.42 | 0.42 | 0.46 | 0.41 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,079,000K
+ $637,000K
+ $593,000K)
÷ $1,314,000K
= 1.76
The quick ratio of Chesapeake Energy Corp has shown fluctuations over the analyzed periods. The quick ratio provides a measure of the company's ability to meet its short-term obligations with its most liquid assets.
In recent quarters, the quick ratio has been improving, indicating a stronger ability to cover its current liabilities with its quick assets. Specifically, as of Dec 31, 2023, the quick ratio stands at 1.76, which suggests that the company has $1.76 of liquid assets available to cover each dollar of current liabilities. This is a positive sign for the company's short-term liquidity position.
However, it is important to note that the quick ratio has varied significantly over time, with values below 1.0 recorded in some quarters, indicating potential liquidity challenges. For example, at the end of Mar 31, 2020, the quick ratio was only 0.25, suggesting a potential difficulty in meeting short-term obligations with quick assets alone.
Overall, while the recent improvement in the quick ratio is a positive development for Chesapeake Energy Corp, investors and stakeholders should continue to monitor this ratio closely to assess the company's ongoing ability to meet its short-term financial commitments.
Peer comparison
Dec 31, 2023