Molson Coors Brewing Co Class B (TAP)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 868,900 | 600,000 | 637,400 | 770,100 | 523,400 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 757,800 | 739,800 | 676,400 | 555,600 | 714,700 |
| Total current liabilities | US$ in thousands | 4,092,600 | 3,375,400 | 3,622,200 | 3,909,600 | 3,695,500 |
| Quick ratio | 0.40 | 0.40 | 0.36 | 0.34 | 0.34 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($868,900K
+ $—K
+ $757,800K)
÷ $4,092,600K
= 0.40
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. For Molson Coors Beverage Company, the quick ratio has fluctuated over the past five years, ranging from 0.42 in 2019 to 0.55 in 2022.
In 2023, the quick ratio stands at 0.50, indicating that the company has $0.50 in liquid assets available to cover each $1 of current liabilities. While the ratio has decreased slightly from the previous year, it remains above 1, suggesting that Molson Coors may potentially have liquidity issues in meeting its short-term obligations.
It is important for investors and stakeholders to monitor the trend of the quick ratio over time, as a sustained decline could signal deteriorating financial health and potential challenges in meeting short-term obligations.
Peer comparison
Dec 31, 2023