Consolidated Communications (CNSL)

Quick ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash	US$ in thousands	4,765	325,852	99,635	155,561	12,395
Short-term investments	US$ in thousands	—	87,951	110,801	111,665	—
Receivables	US$ in thousands	121,194	119,675	133,362	137,646	120,016
Total current liabilities	US$ in thousands	317,245	266,904	285,545	270,470	244,296
Quick ratio		0.40	2.00	1.20	1.50	0.54

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($4,765K + $—K + $121,194K) ÷ $317,245K
= 0.40

The quick ratio of Consolidated Communications Holdings Inc has fluctuated over the past five years. In 2023, the quick ratio decreased significantly to 0.59, indicating a potential liquidity concern as the company may have limited ability to cover its short-term obligations with its most liquid assets. This is a sharp decline from the previous year's quick ratio of 2.24, suggesting a substantial decrease in short-term liquidity.

In 2022, the quick ratio was high at 2.24, indicating a strong ability to meet short-term liabilities with liquid assets. This was an improvement from 2021 when the quick ratio was 1.41, showing an increase in liquidity. In 2020 and 2019, the quick ratios were 1.26 and 0.72, respectively, with a slight improvement in liquidity from 2019 to 2020.

Overall, the fluctuation in the quick ratio of Consolidated Communications Holdings Inc suggests varying levels of liquidity over the years, with the most recent ratio indicating a potential liquidity issue that may require further analysis and attention.