Valaris Ltd (VAL)
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 | 368,200 | 379,300 | 410,300 | 509,100 | 620,500 | 1,041,100 | 787,300 | 822,500 | 724,100 | 406,000 | 553,500 | 578,200 | 608,700 | 620,800 | 608,800 | 291,700 | 325,800 | 180,400 | 202,000 | 184,900 |
| Short-term investments | US$ in thousands | — | — | — | — | — | 0 | 0 | 0 | 0 | 220,000 | — | — | — | 87,000 | 85,000 | — | 120,000 | 121,000 | 117,000 | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 679,500 | 692,300 | 707,600 | 760,700 | 744,300 | 723,000 | 658,900 | 591,800 | 504,400 | 519,100 | 547,100 | 523,300 | 422,000 | 426,800 | 396,600 | 467,400 | 426,800 | 7,701,700 | 3,068,100 | 885,200 |
| Quick ratio | 0.54 | 0.55 | 0.58 | 0.67 | 0.83 | 1.44 | 1.19 | 1.39 | 1.44 | 1.21 | 1.01 | 1.10 | 1.44 | 1.66 | 1.75 | 0.62 | 1.04 | 0.04 | 0.10 | 0.21 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($368,200K
+ $—K
+ $—K)
÷ $679,500K
= 0.54
The quick ratio of Valaris Ltd has fluctuated over the years based on the provided data. Historically, the quick ratio was below 1, indicating potential liquidity concerns as the company may have had difficulties meeting its short-term obligations using its most liquid assets. However, there has been an improvement in the quick ratio starting from December 31, 2020, where it exceeded 1, suggesting the company had an adequate level of liquid assets to cover its current liabilities.
From December 31, 2020, to September 30, 2021, the quick ratio remained above 1, indicating a stronger liquidity position. In the later periods, the quick ratio fluctuated but generally stayed at levels above 1, suggesting continued improvement in the company's ability to meet its short-term obligations.
Recent data shows that the quick ratio decreased from March 31, 2024, to December 31, 2024, which could raise concerns about the company's liquidity position. It is important for Valaris Ltd to monitor its quick ratio closely to ensure it maintains sufficient liquidity to meet its current liabilities in the future.
Peer comparison
Dec 31, 2024