Murphy USA Inc (MUSA)

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 117,800 124,800 92,900 102,100 60,500 192,700 240,400 356,200 256,400 301,300 165,000 304,100 163,600 317,500 403,600 200,300 280,300 247,700 178,600 180,400
Short-term investments US$ in thousands 7,100 8,500 13,000 13,500 17,900 — — — — — — — — — — — — — — —
Receivables US$ in thousands 336,700 344,200 270,700 264,700 281,700 257,700 296,800 260,400 195,700 208,400 260,200 182,100 168,800 142,700 161,300 136,300 172,900 164,300 236,300 227,300
Total current liabilities US$ in thousands 872,800 827,200 815,300 772,000 854,200 755,500 852,700 840,800 675,300 718,900 696,400 675,000 531,100 513,400 553,700 457,900 505,000 516,900 578,800 533,300
Quick ratio 0.53 0.58 0.46 0.49 0.42 0.60 0.63 0.73 0.67 0.71 0.61 0.72 0.63 0.90 1.02 0.74 0.90 0.80 0.72 0.76

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($117,800K + $7,100K + $336,700K) ÷ $872,800K
= 0.53

The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A higher quick ratio indicates a stronger ability to cover short-term liabilities.

Looking at Murphy USA Inc's quick ratio over the past eight quarters, we can see some fluctuations. In Q4 2023, the quick ratio was 0.56, showing a slight decrease compared to the previous quarter. This suggests that the company may have faced some challenges in meeting its short-term obligations with its liquid assets during this period.

Historically, the quick ratio has ranged from 0.48 to 0.77 over the past two years. The highest quick ratio was observed in Q2 2022 at 0.77, indicating a strong ability to cover short-term liabilities with liquid assets. On the other hand, the lowest quick ratio was seen in Q4 2022 at 0.48, which may have indicated some liquidity concerns at that time.

Overall, while there have been fluctuations in Murphy USA Inc's quick ratio over the past eight quarters, the company generally maintains a quick ratio above 1, which is considered healthy. However, management should continue to monitor the quick ratio to ensure the company's liquidity remains strong and is able to meet its short-term obligations efficiently.