Merck & Company Inc (MRK)
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 | 13,242,000 | 14,593,000 | 11,304,000 | 5,579,000 | 6,841,000 | 8,605,000 | 5,660,000 | 9,707,000 | 12,694,000 | 11,145,000 | 9,675,000 | 8,556,000 | 8,096,000 | 10,016,000 | 8,575,000 | 6,981,000 | 8,050,000 | 7,356,000 | 11,103,000 | 7,425,000 |
| Short-term investments | US$ in thousands | 1,367,000 | 984,000 | 1,076,000 | 948,000 | 1,016,000 | 1,914,000 | 718,000 | 680,000 | 498,000 | 103,000 | 453,000 | 372,000 | 0 | 1,915,000 | 1,579,000 | 1,596,000 | 1,787,000 | 1,477,000 | 1,307,000 | 786,000 |
| Receivables | US$ in thousands | 10,278,000 | 11,381,000 | 11,642,000 | 11,366,000 | 10,349,000 | 10,394,000 | 11,030,000 | 10,415,000 | 9,450,000 | 9,482,000 | 9,643,000 | 9,828,000 | 9,230,000 | 8,571,000 | 7,843,000 | 8,235,000 | 7,851,000 | 8,422,000 | 7,577,000 | 8,182,000 |
| Total current liabilities | US$ in thousands | 28,420,000 | 29,586,000 | 26,060,000 | 25,099,000 | 25,694,000 | 23,094,000 | 23,394,000 | 23,131,000 | 24,239,000 | 22,998,000 | 23,168,000 | 22,316,000 | 23,872,000 | 23,728,000 | 21,906,000 | 26,361,000 | 27,327,000 | 20,405,000 | 22,178,000 | 23,483,000 |
| Quick ratio | 0.88 | 0.91 | 0.92 | 0.71 | 0.71 | 0.91 | 0.74 | 0.90 | 0.93 | 0.90 | 0.85 | 0.84 | 0.73 | 0.86 | 0.82 | 0.64 | 0.65 | 0.85 | 0.90 | 0.70 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($13,242,000K
+ $1,367,000K
+ $10,278,000K)
÷ $28,420,000K
= 0.88
The quick ratio of Merck & Company Inc has fluctuated over the period from March 31, 2020, to December 31, 2024. The quick ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, started at a relatively low level of 0.70 on March 31, 2020.
Thereafter, the quick ratio showed some improvement, reaching its highest level of 0.93 on December 31, 2022. This indicates that in that period, the company had a greater ability to cover its short-term liabilities with its quick assets such as cash and marketable securities.
However, the quick ratio experienced some fluctuations in the subsequent periods, with values ranging between 0.64 and 0.92. Specifically, by the end of December 31, 2024, the quick ratio stood at a level of 0.88.
Overall, while the company's quick ratio has shown some variability, it has generally remained within a reasonable range over the analyzed period, suggesting a moderate level of financial liquidity to meet short-term obligations.
Peer comparison
Dec 31, 2024