EQT Corporation (EQT)

Cash 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 and cash equivalents	US$ in thousands	80,977	64,750	1,215,490	2,127,260	1,458,640	87,541	43,745	16,913	113,963	22,792	330,770	40,670	18,210	13,668	2,968	18,651	4,596	7,542	30,170	40,846
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	203,380	214,004	—	—	676,009	736,223	997,316	1,102,060
Total current liabilities	US$ in thousands	2,036,840	2,118,940	2,182,830	2,664,420	3,732,220	6,637,900	7,189,750	7,605,290	5,186,240	7,228,350	3,679,200	1,750,030	1,762,410	1,839,520	1,560,590	1,473,230	1,345,900	1,449,710	1,533,290	2,185,490
Cash ratio		0.04	0.03	0.56	0.80	0.39	0.01	0.01	0.00	0.02	0.00	0.09	0.02	0.13	0.12	0.00	0.01	0.51	0.51	0.67	0.52

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($80,977K + $—K) ÷ $2,036,840K
= 0.04

The cash ratio for EQT Corp has shown fluctuations over the past eight quarters. The cash ratio measures a company's ability to cover its short-term liabilities using its cash and cash equivalents.

In Q1 2022, the cash ratio was 0.24, indicating that EQT Corp had $0.24 in cash and cash equivalents for every $1 of current liabilities. This ratio increased to 0.28 in Q2 2022 before further rising to 0.30 in Q3 2022. Despite these increases, the cash ratio remained relatively low, suggesting a potential liquidity concern.

However, the cash ratio saw a significant improvement in the following quarters. In Q4 2022, the ratio jumped to 0.64, signaling an increase in liquidity. This positive trend continued into 2023, with the cash ratio reaching 1.25 in Q1 2023, indicating that EQT Corp had over $1 in cash and cash equivalents for every $1 of short-term liabilities.

However, the cash ratio decreased in subsequent quarters, falling to 0.89 in Q2 2023 and further dropping to 0.32 in Q3 2023. This decline may raise concerns about EQT Corp's liquidity position in the short term.

Overall, while EQT Corp has shown fluctuations in its cash ratio, the company had a significant improvement in liquidity in early 2023, only to see a decline in recent quarters. Monitoring the cash ratio trends over time will be crucial to assessing EQT Corp's ability to fulfill its short-term obligations with its available cash resources.