Expand Energy Corporation (EXE)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 317,000 | 1,079,000 | 130,000 | 905,000 | 279,000 |
| Short-term investments | US$ in thousands | — | 637,000 | 34,000 | 5,000 | 19,000 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 3,123,000 | 1,314,000 | 2,704,000 | 2,447,000 | 3,094,000 |
| Quick ratio | 0.10 | 1.31 | 0.06 | 0.37 | 0.10 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($317,000K
+ $—K
+ $—K)
÷ $3,123,000K
= 0.10
The quick ratio of Expand Energy Corporation has fluctuated significantly over the past five years. It stood at a very low level of 0.10 on December 31, 2020, indicating a limited ability to cover immediate liabilities with its most liquid assets. Subsequently, there was an improvement in the quick ratio to 0.37 by December 31, 2021, although still below the ideal ratio of 1. This improvement was short-lived as the ratio dropped sharply to 0.06 by December 31, 2022, signaling potential liquidity concerns.
A notable turnaround occurred by December 31, 2023, with the quick ratio surging to a healthy 1.31, surpassing the desirable threshold of 1. This significant increase suggests a more robust liquidity position, potentially due to improved management of current assets and liabilities. However, this positive trend was not sustained, as the ratio fell back to 0.10 by December 31, 2024, returning to a level similar to that observed in 2020.
Overall, the quick ratio of Expand Energy Corporation has shown volatility and inconsistency over the analyzed period, with notable fluctuations in liquidity levels. It is essential for the company to maintain a stable and adequate quick ratio to ensure its ability to meet short-term obligations efficiently.
Peer comparison
Dec 31, 2024