Packaging Corp of America (PKG)
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 | 648,000 | 573,200 | 477,100 | 367,700 | 320,000 | 648,700 | 667,300 | 628,600 | 618,700 | 1,702,900 | 972,200 | 983,400 | 974,600 | 949,100 | 853,300 | 764,000 | 679,500 | 738,300 | 569,400 | 442,400 |
| Short-term investments | US$ in thousands | 493,500 | 104,000 | 101,900 | 95,600 | 85,200 | 77,700 | 82,300 | 81,300 | 86,100 | 88,300 | 101,700 | 102,500 | 105,600 | 101,200 | 86,900 | 92,300 | 87,900 | — | — | — |
| Receivables | US$ in thousands | 1,037,500 | 1,045,200 | 1,023,900 | 1,031,400 | 1,067,500 | 1,118,900 | 1,212,000 | 1,140,700 | 1,078,400 | 1,078,100 | 981,400 | 908,600 | 837,500 | 864,600 | 823,400 | 879,500 | 872,100 | 941,800 | 958,400 | 930,300 |
| Total current liabilities | US$ in thousands | 1,265,700 | 1,278,900 | 797,700 | 828,900 | 875,500 | 963,400 | 972,900 | 967,900 | 884,800 | 1,644,400 | 816,800 | 805,800 | 782,600 | 775,400 | 683,600 | 744,600 | 723,800 | 770,700 | 729,600 | 740,700 |
| Quick ratio | 1.72 | 1.35 | 2.01 | 1.80 | 1.68 | 1.92 | 2.02 | 1.91 | 2.02 | 1.74 | 2.52 | 2.48 | 2.45 | 2.47 | 2.58 | 2.33 | 2.27 | 2.18 | 2.09 | 1.85 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($648,000K
+ $493,500K
+ $1,037,500K)
÷ $1,265,700K
= 1.72
The quick ratio of Packaging Corp Of America has shown some fluctuations over the past eight quarters. The quick ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, indicates that the company has generally maintained a healthy liquidity position.
In Q2 2022, the quick ratio peaked at 2.09, indicating a strong ability to cover short-term liabilities with quick assets. This was followed by a slight decrease in Q3 2022 to 1.99. The ratio continued at this level for the next two quarters, Q4 2022 and Q1 2023.
In Q2 2023, the quick ratio increased significantly to 2.10, suggesting an improved liquidity position compared to the previous quarters. However, the ratio decreased in Q3 2023 to 1.40, indicating a potential strain on short-term liquidity.
The most recent data for Q4 2023 shows a quick ratio of 1.77, which is an improvement from the previous quarter but lower than the peaks observed in Q2 2022 and Q2 2023.
Overall, while there have been fluctuations in the quick ratio of Packaging Corp Of America, the company has generally maintained a strong liquidity position over the analyzed period. It is important for investors and stakeholders to monitor the company's liquidity closely, especially during periods of lower quick ratios, to ensure it can meet its short-term obligations effectively.
Peer comparison
Dec 31, 2023