Permian Resources Corporation (PR)
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 | 479,343 | 272,026 | 48,449 | 13,279 | 73,864 | 211,703 | 18,280 | 25,593 | 59,545 | 45,514 | 201,092 | 50,624 | 9,380 | 4,985 | 4,702 | 10,936 | 5,800 | 5,177 | 7,214 | 3,841 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,327,340 | 1,271,960 | 1,167,630 | 1,112,030 | 1,241,550 | 760,011 | 722,724 | 681,998 | 605,569 | 615,766 | 316,101 | 299,727 | 167,899 | 228,536 | 220,879 | 194,191 | 131,868 | 120,705 | 157,861 | 239,045 |
| Quick ratio | 0.36 | 0.21 | 0.04 | 0.01 | 0.06 | 0.28 | 0.03 | 0.04 | 0.10 | 0.07 | 0.64 | 0.17 | 0.06 | 0.02 | 0.02 | 0.06 | 0.04 | 0.04 | 0.05 | 0.02 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($479,343K
+ $—K
+ $—K)
÷ $1,327,340K
= 0.36
The quick ratio of Permian Resources Corporation has shown fluctuations over the reporting periods. The quick ratio, also known as the acid-test ratio, measures the company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.
Looking at the data provided, the quick ratio ranged from a low of 0.01 to a high of 0.64. A quick ratio of less than 1 indicates that the company may have difficulty meeting its short-term obligations if they all came due at once.
In the earlier periods, the quick ratio was very low, indicating potential liquidity challenges for Permian Resources Corporation. However, there was an improvement in the quick ratio in the later periods, with some quarters showing ratios above 0.2, indicating a better ability to cover short-term obligations with liquid assets.
Overall, it is advisable for Permian Resources Corporation to aim for a quick ratio of at least 1 or higher to ensure a comfortable level of liquidity to meet its short-term obligations. Further analysis of the company's current assets composition and management of working capital may be necessary to understand the factors contributing to the fluctuations in the quick ratio.
Peer comparison
Dec 31, 2024