National Fuel Gas Company (NFG)

Quick ratio

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Cash	US$ in thousands	55,447	46,048	31,528	20,541	20,428
Short-term investments	US$ in thousands	—	46,048	31,528	—	—
Receivables	US$ in thousands	-19,673	-10,153	-14,639	-5,508	139,956
Total current liabilities	US$ in thousands	806,312	1,942,570	1,236,130	459,573	421,908
Quick ratio		0.04	0.04	0.04	0.03	0.38

September 30, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($55,447K + $—K + $-19,673K) ÷ $806,312K
= 0.04

The quick ratio of National Fuel Gas Co. has fluctuated over the past five years. In 2023, the quick ratio stood at 0.41, representing an improvement from the previous year's 0.31. However, compared to 2020 and 2019, the quick ratio has declined significantly, indicating potential liquidity challenges. The quick ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, suggests a declining liquidity position over the past few years. This trend should be carefully monitored, as a low quick ratio may indicate a risk of insolvency and difficulty in meeting immediate financial obligations. It is important for the company to closely manage its liquidity position to ensure ongoing financial stability.