Nabors Industries Ltd (NBR)
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 | 389,652 | 451,649 | 465,953 | 412,864 | 1,057,490 | 387,483 | 413,376 | 469,438 | 451,025 | 420,307 | 412,979 | 394,028 | 991,471 | 771,878 | 399,881 | 417,544 | 472,246 | 504,985 | 484,336 | 480,522 |
| Short-term investments | US$ in thousands | 7,647 | 7,653 | 7,655 | 12,696 | 12,691 | 19,160 | 15,683 | 6,294 | 1,290 | 4,763 | 4,999 | 11 | 17 | 6 | 16 | 17 | 9,500 | 8,840 | 9,942 | 9,136 |
| Receivables | US$ in thousands | 387,970 | 384,723 | 368,550 | 416,873 | 347,837 | 324,970 | 297,388 | 307,005 | 327,397 | 302,963 | 278,112 | 297,209 | 386,872 | 282,726 | 312,136 | 331,453 | 453,377 | 347,212 | 349,005 | 454,718 |
| Total current liabilities | US$ in thousands | 571,917 | 571,578 | 590,922 | 602,418 | 1,213,980 | 528,703 | 544,265 | 540,478 | 596,390 | 559,166 | 524,058 | 513,445 | 525,228 | 516,088 | 529,116 | 490,797 | 515,469 | 486,018 | 523,690 | 584,870 |
| Quick ratio | 1.37 | 1.48 | 1.43 | 1.40 | 1.17 | 1.38 | 1.33 | 1.45 | 1.31 | 1.30 | 1.33 | 1.35 | 2.62 | 2.04 | 1.35 | 1.53 | 1.81 | 1.77 | 1.61 | 1.61 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($389,652K
+ $7,647K
+ $387,970K)
÷ $571,917K
= 1.37
The quick ratio of Nabors Industries Ltd has shown some fluctuations over the years. The quick ratio measures the company's ability to meet its short-term obligations using its most liquid assets.
From March 31, 2020, to December 31, 2021, the quick ratio consistently increased from 1.61 to 2.62, indicating an improvement in the company's short-term liquidity position. This suggests that Nabors Industries had more than enough liquid assets to cover its current liabilities during this period.
However, starting from March 31, 2022, the quick ratio began to decline, reaching a low of 1.17 by December 31, 2023. This decrease may indicate potential issues in managing short-term cash flow and liquidity.
Subsequently, the quick ratio slightly improved by December 31, 2024, to 1.37, but it remained below the peak level seen in 2021.
Overall, while the company experienced fluctuations in its quick ratio, it is essential for investors and stakeholders to monitor this metric closely to assess Nabors Industries' ability to meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024