Expand Energy Corporation (EXE)

Liquidity ratios

Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Current ratio 2.00 2.16 2.33 1.99 1.56 1.34 1.39 1.00 0.49 0.47 0.34 0.86 0.69 0.73 0.82 0.36 0.35 0.29 0.80 0.52
Quick ratio 1.67 1.86 2.04 1.76 1.09 0.95 0.52 0.58 0.43 0.43 0.32 0.83 0.66 0.69 0.72 0.33 0.32 0.25 0.37 0.42
Cash ratio 1.38 1.48 1.74 1.31 0.67 0.55 0.07 0.05 0.02 0.00 0.00 0.37 0.34 0.33 0.24 0.09 0.10 0.03 0.04 0.00

Expand Energy Corporation's liquidity ratios have shown fluctuations over the past few quarters. The current ratio, which measures the company's ability to pay off its short-term liabilities with its current assets, has generally improved since 2019, indicating a strengthening liquidity position. However, there was a slight decrease in the current ratio in the most recent quarter compared to the previous quarter.

The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has also shown improvement over the quarters, suggesting that the company has a decent ability to meet its short-term obligations without relying on inventory. The quick ratio has been generally higher than the current ratio, indicating a lower reliance on inventory to meet short-term obligations.

The cash ratio, which provides the most conservative liquidity measure by considering only cash and cash equivalents against current liabilities, has fluctuated significantly over the quarters. Although there has been some improvement in the cash ratio since 2019, it remains relatively low compared to the current and quick ratios, indicating a limited ability to cover short-term liabilities with cash alone.

Overall, Expand Energy Corporation's liquidity ratios demonstrate some positive trends in terms of its ability to meet short-term obligations, although fluctuations in the ratios suggest that close monitoring of liquidity management is essential to ensure financial stability.

Additional liquidity measure

Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Cash conversion cycle days -444.99 -484.94 -705.34 -1,023.32 -1,208.93 -1,350.83 -1,309.06 -1,297.35 -1,335.37 -1,075.41 -951.98 -863.49 -502.72 -421.21 -328.39 37.66 28.75 24.98 8.43 -443.97

The cash conversion cycle of Expand Energy Corporation has exhibited fluctuations over the periods analyzed. A negative cash conversion cycle indicates that the company is able to convert its investments in inventory into cash quickly, which is generally a positive sign.

The trend shows that the company has been able to shorten its cash conversion cycle over the recent periods, with significant improvements seen from December 2020 to September 2024. The cycle improved from a high of -1,023.32 days in December 2023 to -444.99 days in September 2024. This indicates that the company has been managing its inventory, accounts receivable, and accounts payable effectively to generate cash more efficiently.

The negative cash conversion cycle suggests that Expand Energy Corporation is efficient in collecting receivables, managing inventory, and paying suppliers promptly. However, it is also important to note that a very low or extremely negative cash conversion cycle may indicate aggressive inventory practices or a potential strain on suppliers, which could impact relationships in the long term.

Overall, the trend of decreasing the cash conversion cycle is a positive signal of enhanced operational efficiency and effective working capital management for Expand Energy Corporation.