Warner Bros Discovery Inc (WBD)
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 | 3,780,000 | 2,383,000 | 3,027,000 | 2,594,000 | 3,731,000 | 2,422,000 | 2,575,000 | 4,162,000 | 3,905,000 | 3,116,000 | 2,834,000 | 2,008,000 | 2,091,000 | 1,893,000 | 1,683,000 | 1,453,000 | 1,552,000 | 813,000 | 1,321,000 | 745,000 |
| Short-term investments | US$ in thousands | 53,000 | 41,000 | 43,000 | 53,000 | 28,000 | 14,000 | 2,000 | — | 120,000 | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 6,047,000 | 6,312,000 | 6,770,000 | 6,833,000 | 6,380,000 | 6,669,000 | 7,049,000 | 2,426,000 | 2,446,000 | 2,462,000 | 2,657,000 | 2,476,000 | 2,537,000 | 2,444,000 | 2,473,000 | 2,564,000 | 2,633,000 | 2,695,000 | 2,854,000 | 2,625,000 |
| Total current liabilities | US$ in thousands | 15,332,000 | 14,588,000 | 16,906,000 | 16,380,000 | 15,017,000 | 14,676,000 | 14,436,000 | 3,562,000 | 3,459,000 | 3,335,000 | 3,565,000 | 3,142,000 | 3,082,000 | 2,756,000 | 2,576,000 | 2,875,000 | 3,239,000 | 2,837,000 | 3,874,000 | 3,475,000 |
| Quick ratio | 0.64 | 0.60 | 0.58 | 0.58 | 0.68 | 0.62 | 0.67 | 1.85 | 1.87 | 1.67 | 1.54 | 1.43 | 1.50 | 1.57 | 1.61 | 1.40 | 1.29 | 1.24 | 1.08 | 0.97 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($3,780,000K
+ $53,000K
+ $6,047,000K)
÷ $15,332,000K
= 0.64
The quick ratio of Warner Bros. Discovery Inc has shown some variability over the past eight quarters, ranging from 0.81 to 2.01. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets excluding inventory.
In the most recent quarter, Q4 2023, the quick ratio was 0.93, indicating that the company may have had relatively fewer liquid assets compared to its current liabilities. This suggests that Warner Bros. Discovery Inc may have faced some challenges in meeting its short-term financial obligations at the end of Q4 2023.
Looking at the trend over the past quarters, there was a notable decrease in the quick ratio from Q1 2022 to Q2 2022 (2.01 to 1.07), followed by a fluctuation in the subsequent quarters until Q4 2023. The quick ratio dropping below 1.0 in most quarters indicates that the company may have had difficulties in quickly covering its short-term liabilities with its immediate liquid assets.
Overall, Warner Bros. Discovery Inc's quick ratio trend suggests some variance in its ability to effectively manage short-term liquidity, which may warrant further investigation into the company's working capital management and financial solvency strategies.
Peer comparison
Dec 31, 2023