Marathon Petroleum Corp (MPC)

Cash 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 and cash equivalents	US$ in thousands	3,210,000	4,002,000	4,441,000	3,175,000	5,443,000	8,452,000	7,345,000	7,960,000	8,625,000	7,376,000	9,078,000	7,148,000	5,291,000	5,874,000	11,839,000	758,000	555,000	716,000	1,091,000	1,690,000
Short-term investments	US$ in thousands	1,933,000	1,141,000	4,058,000	4,399,000	4,781,000	4,604,000	4,109,000	3,492,000	3,145,000	3,759,000	4,241,000	3,449,000	5,548,000	7,352,000	5,418,000	5,435,000	5,422,000	5,462,000	—	—
Total current liabilities	US$ in thousands	20,827,000	21,068,000	24,000,000	21,787,000	20,150,000	21,735,000	17,466,000	17,057,000	20,020,000	21,314,000	28,437,000	25,120,000	17,898,000	16,898,000	19,512,000	16,085,000	15,663,000	14,246,000	11,504,000	13,569,000
Cash ratio		0.25	0.24	0.35	0.35	0.51	0.60	0.66	0.67	0.59	0.52	0.47	0.42	0.61	0.78	0.88	0.39	0.38	0.43	0.09	0.12

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($3,210,000K + $1,933,000K) ÷ $20,827,000K
= 0.25

The cash ratio of Marathon Petroleum Corp has shown fluctuation over the quarters, ranging from 0.09 to 0.88. The ratio indicates the company's ability to cover its short-term liabilities using its cash and cash equivalents. A higher cash ratio implies a stronger ability to meet short-term obligations without relying on external sources of financing.

Marathon Petroleum Corp's cash ratio peaked at 0.88 in June 2021, reflecting a significant cash reserve relative to its current liabilities at that time. Subsequently, the ratio decreased gradually, reaching 0.24 by September 2024, indicating a lower cash buffer compared to previous periods.

Overall, the trend in the cash ratio suggests volatility in the company's liquidity position, with fluctuations influenced by factors such as cash management practices, operating cash flows, and investment decisions. It is important for investors and stakeholders to monitor these changes to assess the company's short-term financial health and liquidity management.