Murphy USA Inc (MUSA)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 32,800 | 117,800 | 60,500 | 256,400 | 163,600 |
| Short-term investments | US$ in thousands | 14,200 | 7,100 | 17,900 | 0 | — |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 947,900 | 872,800 | 854,200 | 675,300 | 531,100 |
| Quick ratio | 0.05 | 0.14 | 0.09 | 0.38 | 0.31 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($32,800K
+ $14,200K
+ $—K)
÷ $947,900K
= 0.05
The quick ratio of Murphy USA Inc has exhibited fluctuations over the past five years. In December 2020, the quick ratio was 0.31, indicating that the company had $0.31 in highly liquid assets available to cover each dollar of current liabilities. By December 2021, the quick ratio had improved to 0.38, suggesting a better ability to meet short-term obligations with liquid assets.
However, there was a significant decline in the quick ratio by the end of 2022 to only 0.09, signaling potential liquidity challenges as the company had only $0.09 in quick assets for every dollar of current liabilities. This improved slightly by the end of 2023 to 0.14, but the ratio remained relatively low, indicating continued vulnerability to short-term liquidity pressures.
By December 2024, the quick ratio further decreased to 0.05, reflecting a substantial decline in the company's ability to meet immediate financial obligations with liquid assets. This trend suggests a need for Murphy USA Inc to closely monitor and manage its short-term liquidity position to avoid potential liquidity risks in the future.
Peer comparison
Dec 31, 2024