Zoetis Inc (ZTS)
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 | 1,985,000 | 1,714,000 | 1,574,000 | 1,975,000 | 2,041,000 | 1,754,000 | 1,717,000 | 2,109,000 | 3,581,000 | 2,507,000 | 2,652,000 | 3,135,000 | 3,485,000 | 3,274,000 | 3,658,000 | 3,602,000 | 3,604,000 | 3,654,000 | 3,353,000 | 1,951,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | 102,000 | 100,000 | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 1,395,000 | 1,411,000 | 1,383,000 | 1,293,000 | 1,362,000 | 1,257,000 | 1,322,000 | 1,186,000 | 1,286,000 | 1,189,000 | 1,291,000 | 1,222,000 | 1,180,000 | 1,152,000 | 1,170,000 | 1,125,000 | 1,061,000 | 1,012,000 | 984,000 | 965,000 |
| Total current liabilities | US$ in thousands | 3,412,000 | 1,702,000 | 1,797,000 | 1,909,000 | 1,889,000 | 1,608,000 | 1,769,000 | 1,915,000 | 3,167,000 | 2,880,000 | 3,051,000 | 3,034,000 | 1,797,000 | 1,471,000 | 2,091,000 | 2,066,000 | 2,170,000 | 2,400,000 | 1,811,000 | 1,721,000 |
| Quick ratio | 0.99 | 1.84 | 1.65 | 1.71 | 1.80 | 1.87 | 1.72 | 1.72 | 1.54 | 1.32 | 1.33 | 1.44 | 2.60 | 3.01 | 2.31 | 2.29 | 2.15 | 1.94 | 2.39 | 1.69 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,985,000K
+ $—K
+ $1,395,000K)
÷ $3,412,000K
= 0.99
The quick ratio of Zoetis Inc has fluctuated over the years based on the provided data. The quick ratio measures the company's ability to pay off its current liabilities with its most liquid assets. A quick ratio of 1 or higher indicates that the company is able to cover its short-term obligations.
From March 31, 2020, to September 30, 2021, the quick ratio showed a generally increasing trend, indicating an improvement in the company's short-term liquidity position. This suggests Zoetis Inc had a stronger ability to meet its immediate financial obligations with its quick assets during this period.
However, from March 31, 2022, the quick ratio began to decline, reaching a low point of 0.99 by December 31, 2024. A quick ratio below 1 may signal potential difficulties in meeting short-term obligations with liquid assets alone.
Overall, the quick ratio of Zoetis Inc has shown variability in the recent years, with both positive and concerning trends. It will be important for stakeholders to monitor the company's liquidity position closely to ensure it can meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024