Meta Platforms Inc. (META)
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 | 41,862,000 | 36,890,000 | 28,785,000 | 11,551,000 | 14,681,000 | 14,308,000 | 12,681,000 | 14,886,000 | 16,601,000 | 14,496,000 | 16,186,000 | 19,513,000 | 17,576,000 | 11,617,000 | 21,045,000 | 23,618,000 | 19,079,000 | 15,979,000 | 13,877,000 | 11,076,000 |
| Short-term investments | US$ in thousands | 23,541,000 | 24,233,000 | 24,661,000 | 25,888,000 | 26,082,000 | 54,936,000 | 55,616,000 | 29,004,000 | 31,397,000 | 43,579,000 | 47,894,000 | 44,706,000 | 44,378,000 | 44,003,000 | 37,195,000 | 36,671,000 | 35,776,000 | 36,290,000 | 34,719,000 | 34,167,000 |
| Receivables | US$ in thousands | 16,169,000 | 12,944,000 | 12,511,000 | 11,044,000 | 13,466,000 | 11,227,000 | 11,525,000 | 11,390,000 | 14,039,000 | 12,088,000 | 11,698,000 | 10,276,000 | 11,335,000 | 8,024,000 | 7,483,000 | 7,289,000 | 9,518,000 | 7,673,000 | 7,513,000 | 6,475,000 |
| Total current liabilities | US$ in thousands | 31,960,000 | 30,531,000 | 29,921,000 | 25,381,000 | 27,026,000 | 22,687,000 | 22,217,000 | 21,086,000 | 21,135,000 | 17,812,000 | 14,874,000 | 12,717,000 | 14,981,000 | 11,944,000 | 11,308,000 | 15,069,000 | 15,053,000 | 13,328,000 | 12,979,000 | 9,908,000 |
| Quick ratio | 2.55 | 2.43 | 2.20 | 1.91 | 2.01 | 3.55 | 3.59 | 2.62 | 2.94 | 3.94 | 5.09 | 5.86 | 4.89 | 5.33 | 5.81 | 4.48 | 4.28 | 4.50 | 4.32 | 5.22 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($41,862,000K
+ $23,541,000K
+ $16,169,000K)
÷ $31,960,000K
= 2.55
The quick ratio of Meta Platforms Inc has shown some fluctuations over the past eight quarters. The quick ratio measures the company's ability to cover its short-term liabilities with its most liquid assets, excluding inventory.
From Q1 2022 to Q1 2023, the quick ratio gradually decreased from 2.81 to 2.07, indicating a potential decrease in the company's ability to meet its short-term obligations using its highly liquid assets.
However, there was a slight increase in the quick ratio in Q2 2023 to 2.32, followed by further improvements in Q3 and Q4 2023 to 2.57 and 2.67, respectively. These increases suggest that Meta Platforms Inc has enhanced its ability to cover its short-term liabilities with its liquid assets.
Overall, the quick ratio of Meta Platforms Inc has shown some fluctuations but has generally remained above 2.0 over the past eight quarters. This indicates that the company has a strong ability to meet its short-term financial obligations using its highly liquid assets, which is a positive indicator of its financial health.
Peer comparison
Dec 31, 2023