Vistra Energy Corp (VST)

Quick ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Cash US$ in thousands 1,188,000 3,485,000 455,000 1,325,000 406,000
Short-term investments US$ in thousands 53,000 92,000 14,000 19,000
Receivables US$ in thousands
Total current liabilities US$ in thousands 8,432,000 9,823,000 10,337,000 5,843,000 3,036,000
Quick ratio 0.14 0.36 0.05 0.23 0.14

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,188,000K + $—K + $—K) ÷ $8,432,000K
= 0.14

The quick ratio, also known as the acid-test ratio, measures a company's ability to cover its short-term liabilities with its most liquid assets. A higher quick ratio indicates a stronger ability to meet short-term obligations.

For Vistra Energy Corp, the quick ratio has shown fluctuations over the years:
- In December 31, 2020, the quick ratio was 0.14, indicating that the company had $0.14 in liquid assets for every $1 of current liabilities.
- By December 31, 2021, the quick ratio improved to 0.23, suggesting an increase in the company's liquidity position.
- However, by December 31, 2022, the quick ratio dropped to 0.05, signaling potential liquidity challenges.
- The quick ratio rebounded significantly by December 31, 2023, reaching 0.36, demonstrating improved liquidity.
- In December 31, 2024, the quick ratio fell back to 0.14, reverting closer to the level observed in 2020.

Overall, Vistra Energy Corp's quick ratio has shown variability, with periods of stronger liquidity alternating with periods of lower liquidity. It is important for the company to continually monitor and manage its liquidity position to ensure it can meet its short-term obligations effectively.