Lumen Technologies Inc (LUMN)
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 | 2,234,000 | 311,000 | 411,000 | 1,148,000 | 1,251,000 | 252,000 | 360,000 | 366,000 | 354,000 | 635,000 | 935,000 | 486,000 | 406,000 | 526,000 | 1,763,000 | 1,564,000 | 1,690,000 | 1,404,000 | 410,000 | 441,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 1,630,000 | 1,533,000 | 1,564,000 | 1,432,000 | 1,542,000 | 1,517,000 | 1,488,000 | 1,436,000 | 1,628,000 | 1,556,000 | 1,917,000 | 1,889,000 | 2,060,000 | 2,149,000 | 2,251,000 | 2,248,000 | 2,314,000 | 2,295,000 | 2,533,000 | 2,416,000 |
| Total current liabilities | US$ in thousands | 3,534,000 | 3,920,000 | 3,963,000 | 4,848,000 | 4,897,000 | 8,715,000 | 5,781,000 | 5,655,000 | 7,169,000 | 8,300,000 | 6,510,000 | 7,787,000 | 6,634,000 | 5,879,000 | 7,472,000 | 5,703,000 | 7,258,000 | 6,589,000 | 6,495,000 | 5,373,000 |
| Quick ratio | 1.09 | 0.47 | 0.50 | 0.53 | 0.57 | 0.20 | 0.32 | 0.32 | 0.28 | 0.26 | 0.44 | 0.30 | 0.37 | 0.46 | 0.54 | 0.67 | 0.55 | 0.56 | 0.45 | 0.53 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,234,000K
+ $—K
+ $1,630,000K)
÷ $3,534,000K
= 1.09
The quick ratio of Lumen Technologies Inc has shown significant fluctuations over the past eight quarters. In Q4 2023, the quick ratio improved to 1.26, indicating that the company's ability to meet its short-term obligations with its most liquid assets has strengthened compared to the previous quarters.
In the third quarter of 2023, the quick ratio was at a low point of 0.63, suggesting potential liquidity challenges. However, the quick ratio increased to 0.67 in both the second and first quarters of 2023, showing a slight improvement in short-term liquidity position.
Comparing the recent quick ratio numbers to the same quarter in the previous year, there has been a noticeable upward trend. In Q4 2022, the quick ratio was at 0.69, and it was even lower in the third and second quarters of 2022 at 0.28 and 0.44, respectively. The quick ratio improved to 0.46 in the first quarter of 2022.
Overall, Lumen Technologies Inc has made progress in enhancing its ability to cover short-term obligations with its liquid assets, particularly evident in the improved quick ratio in Q4 2023. It will be important to monitor future trends to ensure sustained liquidity strength.
Peer comparison
Dec 31, 2023