Southwestern Energy Company (SWN)
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 | 21,000 | 26,000 | 25,000 | 3,000 | 50,000 | 11,000 | 50,000 | 21,000 | 28,000 | 12,000 | 2,000 | 4,000 | 13,000 | 95,000 | 10,000 | 5,000 | 5,000 | 29,000 | 155,000 | 366,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | 2,000 | — | — | — | — | — | — |
| Receivables | US$ in thousands | 680,000 | 602,000 | 598,000 | 667,000 | 1,401,000 | 1,763,000 | 1,781,000 | 1,071,000 | 1,160,000 | 708,000 | 408,000 | 400,000 | 368,000 | 239,000 | 250,000 | 292,000 | 345,000 | 323,000 | 358,000 | 390,000 |
| Total current liabilities | US$ in thousands | 1,729,000 | 1,758,000 | 1,910,000 | 2,166,000 | 3,481,000 | 5,451,000 | 5,294,000 | 5,670,000 | 3,052,000 | 4,162,000 | 1,944,000 | 1,370,000 | 1,012,000 | 869,000 | 875,000 | 914,000 | 848,000 | 880,000 | 912,000 | 943,000 |
| Quick ratio | 0.41 | 0.36 | 0.33 | 0.31 | 0.42 | 0.33 | 0.35 | 0.19 | 0.39 | 0.17 | 0.21 | 0.29 | 0.38 | 0.39 | 0.30 | 0.32 | 0.41 | 0.40 | 0.56 | 0.80 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($21,000K
+ $—K
+ $680,000K)
÷ $1,729,000K
= 0.41
The quick ratio of Southwestern Energy Company has shown an improving trend over the past eight quarters, indicating an increasing ability to meet its short-term obligations with its most liquid assets. The quick ratio improved from 0.22 in Q1 2022 to 0.82 in Q4 2023, reflecting a more favorable liquidity position. This indicates that the company has increased its ability to cover its current liabilities without relying heavily on its inventory.
However, it is important to note that the quick ratio fluctuated throughout the quarters, with some periods showing slight decreases. For instance, a drop from 0.59 in Q3 2023 to 0.55 in Q1 2023 suggests a temporary decrease in liquidity, which could be a concern for the company's ability to meet its short-term obligations in those specific periods.
Overall, the increasing trend in the quick ratio indicates an improvement in Southwestern Energy Company's short-term liquidity position, but the fluctuations in the ratio highlight the importance of consistent monitoring and management of liquidity risk.
Peer comparison
Dec 31, 2023