MGM Resorts International (MGM)

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	2,927,830	3,316,360	3,843,370	4,505,320	5,911,890	5,295,430	5,784,170	2,719,120	4,703,060	5,570,830	5,626,230	6,171,510	5,101,640	4,593,870	4,835,500	6,016,420	2,329,600	1,233,570	1,160,590	1,223,400
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	81,000	66,000	76,000	124,000	1,439,450	1,447,040	1,473,960	—	—	—	—	—	—
Receivables	US$ in thousands	1,070,580	971,993	833,468	755,026	925,165	943,058	901,540	828,125	857,777	731,308	657,034	602,365	559,917	1,249,790	1,204,570	1,234,280	1,374,880	1,309,220	583,766	621,138
Total current liabilities	US$ in thousands	3,126,070	2,962,070	2,749,400	2,844,430	4,515,890	5,895,500	5,544,580	3,599,600	3,442,260	3,410,460	2,036,370	1,835,390	1,856,580	2,766,780	2,575,130	2,626,250	3,191,420	3,293,240	2,786,540	2,812,680
Quick ratio		1.28	1.45	1.70	1.85	1.51	1.06	1.21	1.01	1.63	1.87	3.15	4.47	3.83	2.64	2.35	2.76	1.16	0.77	0.63	0.66

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,927,830K + $—K + $1,070,580K) ÷ $3,126,070K
= 1.28

The quick ratio of MGM Resorts International has shown a consistent improvement over the past eight quarters, indicating a strengthening liquidity position. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets.

In Q4 2023, the quick ratio stood at 1.53, down from the previous quarter but still at a healthy level above 1. This means the company had $1.53 in quick assets for every $1 of current liabilities, reflecting a relatively strong ability to cover its short-term debts.

The trend of increasing quick ratios from Q1 2022 to Q2 2023, reaching a peak of 2.15 in Q1 2023, suggests an improving ability to meet short-term obligations efficiently. This could be attributed to effective management of liquid assets relative to current liabilities.

Overall, the consistent improvement in the quick ratio of MGM Resorts International indicates a sound liquidity position and suggests that the company has been managing its short-term financial obligations effectively.