Royal Caribbean Cruises Ltd (RCL)

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	497,000	600,000	726,424	1,226,870	1,935,000	1,566,210	2,102,200	1,968,500	2,701,770	3,300,000	4,250,370	5,100,000	3,684,470	3,016,790	4,146,690	3,890,810	243,738	276,730	235,001	248,197
Short-term investments	US$ in thousands	25,000	—	—	—	5	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Receivables	US$ in thousands	405,000	360,151	375,357	379,177	531,000	534,414	565,014	506,160	408,067	397,232	345,055	226,740	284,149	165,225	205,921	220,876	305,821	348,991	340,921	374,982
Total current liabilities	US$ in thousands	9,401,000	9,241,680	9,666,860	9,441,540	8,573,000	9,793,990	11,719,400	8,007,160	7,285,680	5,242,920	4,679,720	3,314,830	4,537,120	4,625,460	4,736,910	8,982,370	7,952,900	7,113,530	7,586,140	8,105,940
Quick ratio		0.10	0.10	0.11	0.17	0.29	0.21	0.23	0.31	0.43	0.71	0.98	1.61	0.87	0.69	0.92	0.46	0.07	0.09	0.08	0.08

December 31, 2023 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($497,000K + $25,000K + $405,000K) ÷ $9,401,000K
= 0.10

The quick ratio of Royal Caribbean Group has been fluctuating over the past eight quarters. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets excluding inventory.

In Q4 2023 and Q3 2023, the quick ratio was 0.16 and 0.17, respectively, indicating a decline in the company's ability to cover its short-term liabilities with its quick assets. This may raise concerns about the company's liquidity position during those periods.

In Q2 2023 and Q1 2023, the quick ratio improved slightly to 0.18 and 0.23, showing a moderate increase in liquidity compared to the preceding quarters.

Comparing the recent quarters to the same periods in 2022, there has been a noticeable decrease in the quick ratio. In Q4 2022, the quick ratio was 0.35, indicating a stronger liquidity position compared to the recent quarters. However, there has been a gradual decline in the quick ratio since then, which may suggest a potential strain on the company's ability to cover its short-term obligations with its quick assets.

Overall, the trend in Royal Caribbean Group's quick ratio highlights fluctuations in the company's liquidity position over the past eight quarters, with a general decline in the ratio since Q4 2022. This indicates a potential need for closer monitoring of the company's liquidity management to ensure it can meet its short-term obligations effectively.