Merck & Company Inc (MRK)
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 | 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 | 9,676,000 | 7,869,000 | 6,659,000 | 8,076,000 |
| Short-term investments | US$ in thousands | 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 | 2,361,000 | 969,000 | 1,600,000 | 2,049,000 |
| Receivables | US$ in thousands | 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 | 6,778,000 | 8,442,000 | 7,964,000 | 7,608,000 |
| Total current liabilities | US$ in thousands | 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 | 22,220,000 | 20,684,000 | 20,085,000 | 18,543,000 |
| Quick ratio | 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 | 0.85 | 0.84 | 0.81 | 0.96 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($6,841,000K
+ $1,016,000K
+ $10,349,000K)
÷ $25,694,000K
= 0.71
The quick ratio of Merck & Co Inc has been relatively stable over the past eight quarters, ranging from 1.00 to 1.23. A quick ratio above 1 indicates that the company has more than enough liquid assets to cover its current liabilities, which is generally considered a positive sign of financial health.
In the most recent quarter (Q4 2023), the quick ratio was 1.00, indicating that the company may have a tighter liquidity position compared to the previous quarters. However, it is important to note that a quick ratio of 1 is generally considered acceptable in most industries.
Overall, the trend in Merck & Co Inc's quick ratio suggests that the company has maintained a strong ability to meet its short-term obligations with its available liquid assets. It is essential for investors and stakeholders to continue monitoring this ratio in conjunction with other financial metrics to assess the company's overall financial position and liquidity management.
Peer comparison
Dec 31, 2023