The Coca-Cola Company (KO)
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 | 9,366,000 | 11,883,000 | 12,564,000 | 12,004,000 | 9,519,000 | 10,127,000 | 8,976,000 | 7,681,000 | 9,684,000 | 11,301,000 | 9,188,000 | 8,484,000 | 6,795,000 | 11,385,000 | 10,037,000 | 13,561,000 | 6,480,000 | 7,531,000 | 6,731,000 | 5,848,000 |
| Short-term investments | US$ in thousands | 2,997,000 | 2,332,000 | 1,867,000 | 1,166,000 | 1,043,000 | 1,120,000 | 776,000 | 736,000 | 1,242,000 | 1,844,000 | 2,079,000 | 1,871,000 | 1,771,000 | 7,347,000 | 7,551,000 | 1,713,000 | 1,467,000 | 2,001,000 | 2,572,000 | 1,335,000 |
| Receivables | US$ in thousands | 3,410,000 | 3,495,000 | 3,970,000 | 4,599,000 | 3,487,000 | 3,994,000 | — | — | 3,512,000 | — | — | — | 3,144,000 | 3,827,000 | 3,849,000 | 4,430,000 | 3,971,000 | 4,353,000 | 4,888,000 | 3,852,000 |
| Total current liabilities | US$ in thousands | 23,571,000 | 24,409,000 | 24,115,000 | 23,357,000 | 19,724,000 | 21,439,000 | 20,531,000 | 18,787,000 | 19,950,000 | 15,990,000 | 15,299,000 | 16,486,000 | 14,601,000 | 26,891,000 | 26,848,000 | 32,397,000 | 26,973,000 | 25,100,000 | 29,382,000 | 27,943,000 |
| Quick ratio | 0.67 | 0.73 | 0.76 | 0.76 | 0.71 | 0.71 | 0.47 | 0.45 | 0.72 | 0.82 | 0.74 | 0.63 | 0.80 | 0.84 | 0.80 | 0.61 | 0.44 | 0.55 | 0.48 | 0.39 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($9,366,000K
+ $2,997,000K
+ $3,410,000K)
÷ $23,571,000K
= 0.67
The quick ratio measures a company's ability to meet its short-term debt obligations using its most liquid assets. A quick ratio of 1 or higher generally indicates that a company can cover its short-term liabilities with its quick assets.
Based on the data provided for Coca-Cola Co's quick ratio over the past eight quarters, it shows a consistent range of between 0.93 and 0.98. This suggests that the company has been able to cover its short-term obligations with its quick assets, although the ratio has fluctuated slightly over the period.
The average quick ratio for Coca-Cola Co over this period is approximately 0.95, indicating a relatively stable liquidity position. The company's quick ratio has remained close to 1, implying that it has the ability to meet its short-term obligations using its liquid assets.
Overall, the trend in Coca-Cola Co's quick ratio demonstrates a consistent and satisfactory liquidity position, providing a reasonable level of assurance regarding the company's ability to manage its short-term financial obligations.
Peer comparison
Dec 31, 2023