Light & Wonder Inc (LNW)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 196,000 | 347,000 | 321,000 | 450,000 | 425,000 | 891,000 | 909,000 | 931,000 | 914,000 | 1,277,000 | 928,000 | 496,000 | 585,000 | 782,000 | 932,000 | 967,000 | 928,000 | 1,045,000 | 790,000 | 334,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 88,000 | — | — | — |
| Receivables | US$ in thousands | 585,000 | 580,000 | 575,000 | 504,000 | 506,000 | 477,000 | 499,000 | 458,000 | 455,000 | 426,000 | 415,000 | 431,000 | 423,000 | 415,000 | 636,000 | 621,000 | 616,000 | 662,000 | 612,000 | 624,000 |
| Total current liabilities | US$ in thousands | 735,000 | 680,000 | 696,000 | 677,000 | 696,000 | 619,000 | 577,000 | 642,000 | 622,000 | 802,000 | 1,254,000 | 927,000 | 974,000 | 844,000 | 780,000 | 868,000 | 832,000 | 847,000 | 1,085,000 | 735,000 |
| Quick ratio | 1.06 | 1.36 | 1.29 | 1.41 | 1.34 | 2.21 | 2.44 | 2.16 | 2.20 | 2.12 | 1.07 | 1.00 | 1.03 | 1.42 | 2.01 | 1.83 | 1.96 | 2.02 | 1.29 | 1.30 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($196,000K
+ $—K
+ $585,000K)
÷ $735,000K
= 1.06
Analysis of Light & Wonder Inc Quick Ratio:
The quick ratio of Light & Wonder Inc has shown fluctuating trends over the period from March 31, 2020, to December 31, 2024. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets.
- The quick ratio started at a healthy level of 1.30 on March 31, 2020, indicating the company had $1.30 of liquid assets available to cover $1 of its current liabilities.
- There was a slight decrease in the quick ratio to 1.29 on June 30, 2020, but it remained relatively stable around 1.3 over the next three quarters.
- By September 30, 2020, the quick ratio increased significantly to 2.02, showing a stronger ability to meet short-term obligations.
- Throughout 2021, the quick ratio was above 1.5, indicating the company's liquidity position was generally healthy.
- However, there was a noticeable decline in the quick ratio by the end of 2021, dropping to 1.03 on December 31, signaling a potential strain on the company's ability to meet short-term obligations.
- The quick ratio continued to hover around 1.00 during the first half of 2022, suggesting possible liquidity challenges.
- A notable improvement was observed in the quick ratio by September 30, 2022, reaching 2.12, and it further increased to 2.20 by December 31, 2022, indicating a stronger liquidity position.
- The quick ratio remained relatively stable above 2 throughout 2023, indicating an improved ability to cover short-term liabilities.
- However, there was a decline in the quick ratio to 1.06 on December 31, 2024, which might raise concerns about the company's short-term liquidity position.
In conclusion, the quick ratio of Light & Wonder Inc has displayed fluctuations over the years, with periods of strong liquidity and some instances of potential strain on short-term financial health. Monitoring and managing liquidity effectively will be crucial for the company to ensure it can meet its obligations in a timely manner.
Peer comparison
Dec 31, 2024