Williams Companies Inc (WMB)
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 | 60,000 | 762,000 | 55,000 | 667,000 | 2,150,000 | 2,074,000 | 551,000 | 477,000 | 152,000 | 859,000 | 133,000 | 604,000 | 1,680,000 | 214,000 | 1,201,000 | 1,126,000 | 142,000 | 70,000 | 1,133,000 | 400,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | -5,045,000 | — | — | — | — | — | 5,085,000 | 5,124,000 | 5,129,000 | 5,159,000 | 5,176,000 | — | — |
| Receivables | US$ in thousands | 1,863,000 | 1,310,000 | 1,398,000 | 1,355,000 | 1,655,000 | 1,419,000 | 1,362,000 | 1,524,000 | 2,723,000 | 2,659,000 | 2,784,000 | 1,973,000 | 1,978,000 | 1,986,000 | 999,000 | 1,058,000 | 999,000 | 1,011,000 | 907,000 | 930,000 |
| Total current liabilities | US$ in thousands | 5,312,000 | 4,719,000 | 4,696,000 | 4,981,000 | 5,830,000 | 5,526,000 | 5,384,000 | 4,020,000 | 4,890,000 | 5,017,000 | 5,838,000 | 4,308,000 | 4,972,000 | 4,940,000 | 3,759,000 | 3,535,000 | 2,319,000 | 1,861,000 | 2,438,000 | 2,116,000 |
| Quick ratio | 0.36 | 0.44 | 0.31 | 0.41 | 0.65 | 0.63 | 0.36 | -0.76 | 0.59 | 0.70 | 0.50 | 0.60 | 0.74 | 1.47 | 1.95 | 2.07 | 2.72 | 3.36 | 0.84 | 0.63 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($60,000K
+ $—K
+ $1,863,000K)
÷ $5,312,000K
= 0.36
The quick ratio of Williams Companies Inc has shown fluctuating trends over the period from March 31, 2020, to December 31, 2024. The quick ratio, also known as the acid-test ratio, measures the company's ability to meet its short-term obligations with its most liquid assets.
The quick ratio was below 1 for most of the period, indicating that Williams Companies Inc may have had difficulty meeting its short-term obligations using only its quick assets. The quick ratio improved from March 31, 2020, to September 30, 2021, reaching a peak of 3.36, which suggests the company had a strong ability to cover its short-term liabilities with its liquid assets during that period.
However, the quick ratio declined significantly from December 31, 2021, to March 31, 2023, reaching a negative value at one point, which could be a cause for concern as it implies the company may not have had enough quick assets to cover its current liabilities during that period.
From March 31, 2023, to December 31, 2024, the quick ratio showed some recovery, hovering around 0.3 to 0.7, indicating that Williams Companies Inc continued to have some challenges in meeting its short-term obligations with its liquid assets.
Overall, the fluctuating quick ratio of Williams Companies Inc suggests varying levels of liquidity and highlights the importance of closely monitoring the company's ability to manage its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024