Middlesex Water Company (MSEX)

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	2,390	2,970	4,377	4,862	3,828	2,908	4,320	3,294	3,533	5,282	6,026	4,046	4,491	5,346	13,196	15,419	2,230	3,151	2,990	4,986
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Receivables	US$ in thousands	27,469	30,306	26,297	24,186	24,677	29,103	24,918	21,628	22,584	26,102	22,097	19,919	21,634	24,390	21,558	17,525	19,091	22,824	20,001	16,922
Total current liabilities	US$ in thousands	103,829	121,303	87,563	95,978	117,859	92,967	78,829	59,669	56,619	92,494	80,745	65,801	56,848	85,354	84,294	80,539	64,981	103,475	102,532	93,246
Quick ratio		0.29	0.27	0.35	0.30	0.24	0.34	0.37	0.42	0.46	0.34	0.35	0.36	0.46	0.35	0.41	0.41	0.33	0.25	0.22	0.23

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($2,390K + $—K + $27,469K) ÷ $103,829K
= 0.29

The quick ratio of Middlesex Water Co. fluctuated over the past eight quarters, ranging from a low of 0.26 in Q4 2022 to a high of 1.07 in Q3 2023. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has an adequate amount of liquid assets to cover its current liabilities.

In the latest quarter, Q4 2023, the quick ratio was 0.98, suggesting that the company may face some challenges in meeting its short-term obligations using its quick assets alone. However, it is worth noting that this ratio has improved from the previous quarter (Q3 2023), where it stood at 1.07.

Overall, the trend in the quick ratio of Middlesex Water Co. indicates some variability in liquidity levels over the past two years, with some quarters showing stronger liquidity positions than others. Further analysis of the components of quick assets, such as cash, marketable securities, and accounts receivable, would provide additional insights into the company's liquidity management.