FMC Corporation (FMC)

Quick 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 US$ in thousands 302,400 323,800 941,500 494,400 572,000 363,800 591,500 365,100 516,800 341,000 728,500 416,700 568,900 297,100 342,700 436,200 339,100 419,700 83,400 109,500
Short-term investments US$ in thousands — — — 6,700 12,400 28,600 17,700 — -510,300 8,000 6,000 3,000 3,000 1,000 — — — — — —
Receivables US$ in thousands 2,703,200 2,564,500 2,782,800 3,202,100 2,871,400 2,599,900 2,885,100 2,868,600 2,583,700 2,503,500 2,627,300 2,532,800 2,330,300 2,137,900 2,342,400 2,460,100 2,231,200 2,001,100 2,384,000 2,530,200
Total current liabilities US$ in thousands 3,384,600 3,446,500 4,352,700 4,668,300 3,799,600 3,632,200 3,985,700 3,829,300 3,520,300 3,427,600 3,841,500 3,380,100 2,829,000 2,368,300 2,682,900 2,456,500 2,723,900 2,521,500 3,230,100 3,337,600
Quick ratio 0.89 0.84 0.86 0.79 0.91 0.82 0.88 0.84 0.74 0.83 0.88 0.87 1.03 1.03 1.00 1.18 0.94 0.96 0.76 0.79

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($302,400K + $—K + $2,703,200K) ÷ $3,384,600K
= 0.89

The quick ratio of FMC Corp. has shown some fluctuation over the past eight quarters. In Q4 2023, the quick ratio was 1.01, indicating that the company had $1.01 in liquid assets available to cover each $1 of current liabilities. This was slightly higher compared to the ratios observed in the previous quarters. The quick ratio ranged from 0.88 to 1.01 during this period, with the lowest ratio recorded in Q1 2023 and the highest in Q4 2023.

Overall, a quick ratio of around 1.0 is generally considered healthy, as it suggests that the company has sufficient liquid assets to meet its short-term obligations. However, it is important to monitor the trend in the quick ratio over time to assess the company's liquidity position accurately and ensure its ability to cover immediate liabilities without relying on selling inventory.