KBR Inc (KBR)

Liquidity ratios

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
Current ratio 1.05 0.98 1.05 0.99 0.96 1.24 1.26 1.21 1.15 1.19 1.20 1.15 1.12 1.54 1.27 1.22 1.34 1.28 1.27 1.31
Quick ratio 0.84 0.66 0.71 0.79 0.74 1.00 1.04 0.99 0.96 1.00 0.98 0.93 0.93 1.34 1.07 1.01 1.12 1.04 1.05 1.12
Cash ratio 0.19 0.16 0.24 0.23 0.21 0.34 0.35 0.28 0.20 0.31 0.33 0.31 0.30 0.66 0.42 0.35 0.47 0.41 0.39 0.47

KBR Inc's liquidity ratios have exhibited some fluctuations over the past few quarters. The current ratio, which measures the company's ability to cover its short-term obligations with current assets, has generally been above 1, indicating that KBR has been able to meet its short-term liabilities. However, the current ratio has been somewhat volatile, ranging from 0.96 to 1.26, with a slight downward trend in recent quarters.

The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has also shown variability, ranging from 0.66 to 1.34. This suggests that KBR may have struggled at times to cover its short-term obligations without relying on inventory.

Additionally, the cash ratio, which indicates the extent to which cash and cash equivalents can cover current liabilities, has fluctuated from 0.16 to 0.66. While the cash ratio has generally been lower than the current and quick ratios, it provides insight into KBR's ability to meet its obligations with readily available cash resources.

Overall, KBR Inc's liquidity ratios indicate that the company has generally been able to manage its short-term obligations, but the fluctuations in these ratios suggest some variability in its liquidity position over the periods analyzed. Monitoring these ratios closely can help assess KBR's ability to withstand short-term financial challenges.

Additional liquidity measure

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 conversion cycle days 21.06 17.89 16.17 16.08 16.95 16.23 23.06 18.60 18.67 13.20 15.75 14.12 17.22 19.98 18.24 18.74 21.24 21.98 23.41 22.10

The cash conversion cycle of KBR Inc has shown fluctuations over the past few quarters. It is a metric that indicates the average number of days it takes a company to convert its investments in inventory and other resources into cash flow from sales.

Based on the data provided, we can see that the cash conversion cycle has ranged from a low of 13.20 days in September 2021 to a high of 23.41 days in June 2019. In general, a lower cash conversion cycle is preferred as it signifies that the company is able to efficiently manage its working capital and turn its assets into cash quickly.

The trend in KBR Inc's cash conversion cycle appears to have improved in recent quarters, with a notable decrease from 23.06 days in June 2022 to 16.17 days in June 2023. This indicates that the company may have enhanced its inventory management and collection processes, leading to quicker cash inflows from its operations.

It is important for KBR Inc to monitor its cash conversion cycle regularly to ensure efficient working capital management and liquidity. A shorter cash conversion cycle generally implies better financial health and operational efficiency, allowing the company to fund its operations and growth more effectively.