Kimberly-Clark Corporation (KMB)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,021,000 | 1,093,000 | 427,000 | 270,000 | 303,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 2,009,000 | 2,135,000 | 2,280,000 | 2,207,000 | 2,235,000 |
| Total current liabilities | US$ in thousands | 7,004,000 | 6,930,000 | 7,334,000 | 6,749,000 | 6,443,000 |
| Quick ratio | 0.43 | 0.47 | 0.37 | 0.37 | 0.39 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,021,000K
+ $—K
+ $2,009,000K)
÷ $7,004,000K
= 0.43
The quick ratio of Kimberly-Clark Corporation has exhibited fluctuations over the years based on the provided data. The quick ratio stood at 0.39 on December 31, 2020, which indicates that for every dollar of current liabilities, the company had $0.39 of highly liquid assets to cover its short-term obligations.
Subsequently, the quick ratio decreased to 0.37 at the end of both 2021 and 2022, suggesting a slight deterioration in the company's ability to meet its short-term liabilities with its liquid assets.
However, there was an improvement in the quick ratio to 0.47 at the end of 2023, indicating an increase in the company's liquidity position and ability to cover its short-term obligations with its quick assets.
By the end of 2024, the quick ratio declined slightly to 0.43, still remaining above 1, which indicates that Kimberly-Clark Corporation continued to have a sufficient level of liquid assets to meet its short-term liabilities.
Overall, although the quick ratio fluctuated over the period, the company generally maintained a reasonable level of liquidity to address its immediate financial obligations.
Peer comparison
Dec 31, 2024