Kimberly-Clark Corporation (KMB)
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 | 1,093,000 | 814,000 | 580,000 | 524,000 | 427,000 | 362,000 | 311,000 | 493,000 | 270,000 | 286,000 | 306,000 | 320,000 | 303,000 | 1,518,000 | 1,448,000 | 979,000 | 442,000 | 416,000 | 534,000 | 491,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | 340,000 | 350,000 | — | 300,000 | 333,000 | — | — | — | — | — | — |
| Receivables | US$ in thousands | 2,135,000 | 2,298,000 | 2,359,000 | 2,430,000 | 2,280,000 | 2,333,000 | 2,469,000 | 2,516,000 | 2,207,000 | 2,399,000 | 2,340,000 | 2,199,000 | 2,235,000 | 2,125,000 | 2,024,000 | 2,519,000 | 2,263,000 | 2,306,000 | 2,397,000 | 2,377,000 |
| Total current liabilities | US$ in thousands | 6,930,000 | 6,831,000 | 6,598,000 | 7,094,000 | 7,334,000 | 7,197,000 | 7,209,000 | 7,257,000 | 6,749,000 | 7,258,000 | 7,244,000 | 6,694,000 | 6,443,000 | 6,102,000 | 6,494,000 | 6,483,000 | 6,919,000 | 6,782,000 | 6,585,000 | 7,197,000 |
| Quick ratio | 0.47 | 0.46 | 0.45 | 0.42 | 0.37 | 0.37 | 0.39 | 0.41 | 0.37 | 0.42 | 0.41 | 0.38 | 0.44 | 0.65 | 0.53 | 0.54 | 0.39 | 0.40 | 0.45 | 0.40 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,093,000K
+ $—K
+ $2,135,000K)
÷ $6,930,000K
= 0.47
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. In the case of Kimberly-Clark Corp., the quick ratio has been relatively stable over the past eight quarters, ranging from 0.46 to 0.55.
A quick ratio of less than 1 indicates that the company may have difficulty meeting its short-term liabilities if they all came due at once. Although the quick ratio for Kimberly-Clark Corp. has consistently been below 1, the trend shows a slight improvement from 0.46 in Q4 2022 to 0.54 in Q4 2023.
It is important to note that a quick ratio should be analyzed in conjunction with other liquidity ratios and factors affecting the company's financial health to get a complete picture of its ability to meet its short-term obligations. Further investigation into the composition of current assets and liabilities would provide more insights into Kimberly-Clark Corp.'s liquidity position.
Peer comparison
Dec 31, 2023