EchoStar Corporation (SATS)
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 | 4,305,390 | 2,670,100 | 419,246 | 613,702 | 1,821,380 | 1,094,530 | 702,055 | 920,105 | 704,541 | 901,269 | 991,595 | 889,199 | 535,894 | 429,656 | 716,522 | 1,583,750 | 896,005 | 555,550 | 1,948,460 | 1,599,020 |
| Short-term investments | US$ in thousands | 1,242,040 | 51,792 | 101,331 | 152,649 | 623,044 | 894,744 | 1,211,410 | 755,169 | 973,915 | 666,904 | 529,854 | 634,593 | 1,010,500 | 1,127,050 | 841,521 | 735,418 | 1,638,270 | 1,950,800 | 509,980 | 790,361 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 5,831,040 | 7,478,920 | 6,976,880 | 7,004,960 | 8,018,590 | 396,679 | 398,181 | 378,173 | 422,831 | 406,216 | 434,363 | 423,674 | 460,123 | 487,297 | 547,104 | 1,331,780 | 1,425,170 | 1,374,730 | 1,361,910 | 446,217 |
| Quick ratio | 0.95 | 0.36 | 0.07 | 0.11 | 0.30 | 5.01 | 4.81 | 4.43 | 3.97 | 3.86 | 3.50 | 3.60 | 3.36 | 3.19 | 2.85 | 1.74 | 1.78 | 1.82 | 1.81 | 5.35 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($4,305,390K
+ $1,242,040K
+ $—K)
÷ $5,831,040K
= 0.95
The quick ratio, also known as the acid-test ratio, measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that a company has enough liquid assets to cover its current liabilities.
Looking at EchoStar Corporation's quick ratio from March 2020 to December 2024, we observe fluctuations in the ratio over time. The ratio started at a high level of 5.35 in March 2020, which suggests the company had a comfortable cushion of liquid assets to cover its short-term liabilities.
Subsequently, the quick ratio decreased gradually over the next few quarters, reaching a low of 0.07 in June 2024 and then slightly improving to 0.36 in September 2024. This decline indicates a potential strain on the company's liquidity position and ability to meet its short-term obligations.
The quick ratio is an important indicator of a company's short-term financial health. EchoStar Corporation's decreasing quick ratio highlights the need for careful monitoring of its liquidity position and management of its current assets and liabilities to ensure the company can meet its financial obligations in the short term.
Peer comparison
Dec 31, 2024