CVR Energy Inc (CVI)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 581,000 | 510,000 | 510,000 | 667,000 | 652,000 |
| Short-term investments | US$ in thousands | — | — | — | 173,000 | — |
| Receivables | US$ in thousands | 286,000 | 380,000 | 325,000 | 222,000 | 182,000 |
| Total current liabilities | US$ in thousands | 1,682,000 | 1,439,000 | 1,156,000 | 659,000 | 596,000 |
| Quick ratio | 0.52 | 0.62 | 0.72 | 1.61 | 1.40 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($581,000K
+ $—K
+ $286,000K)
÷ $1,682,000K
= 0.52
The quick ratio of CVR Energy Inc has shown fluctuations over the past five years. The ratio decreased from 1.51 in 2019 to 1.68 in 2020, indicating a strong ability to cover its short-term obligations with its most liquid assets. However, the quick ratio declined significantly to 0.77 in 2021 and further to 0.67 in 2022, reflecting potential liquidity challenges in meeting short-term obligations using only its quick assets.
In 2023, the quick ratio improved slightly to 0.94, but it remains below 1. This suggests that CVR Energy Inc may still face difficulties in fulfilling its short-term obligations with its quick assets alone. Further analysis of the company's current asset composition and liquidity management strategies would be beneficial to understand the factors contributing to the fluctuating quick ratio and to assess the company's overall financial health.
Peer comparison
Dec 31, 2023