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Philip Morris International Inc. (PM) | Liquidity Analysis

Liquidity ratios measure the company's ability to meet its short-term obligations.


Ratios (Summary)

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Philip Morris International Inc., liquidity ratios

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    Dec 31, 2010 Dec 31, 2009 Dec 31, 2008 Dec 31, 2007 Dec 31, 2006
Current ratio
Quick ratio
Cash ratio

Source: Based on data from Philip Morris International Inc. Annual Reports

Ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Philip Morris International Inc.'s current ratio deteriorated from 2008 to 2009 and from 2009 to 2010.
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Philip Morris International Inc.'s quick ratio deteriorated from 2008 to 2009 and from 2009 to 2010.
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Philip Morris International Inc.'s cash ratio deteriorated from 2008 to 2009 and from 2009 to 2010.

Current Ratio

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    Dec 31, 2010 Dec 31, 2009 Dec 31, 2008 Dec 31, 2007 Dec 31, 2006
  Selected Financial Data (USD $ in millions)
Current assets
Current liabilities
  Current Ratio, Comparison to Industry
Philip Morris International Inc.1
  Industry, Consumer Goods

Source: Based on data from Philip Morris International Inc. Annual Reports

2010 Calculations

1 Current ratio = Current assets ÷ Current liabilities
= ÷ =

Ratio Description The company
Current ratio A liquidity ratio calculated as current assets divided by current liabilities. Philip Morris International Inc.'s current ratio deteriorated from 2008 to 2009 and from 2009 to 2010.

Quick Ratio

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    Dec 31, 2010 Dec 31, 2009 Dec 31, 2008 Dec 31, 2007 Dec 31, 2006
  Selected Financial Data (USD $ in millions)
Cash and cash equivalents
Receivables, less allowances
Due from Altria Group, Inc. And affiliates
Total quick assets
Current liabilities
  Quick Ratio, Comparison to Industry
Philip Morris International Inc.1
  Industry, Consumer Goods

Source: Based on data from Philip Morris International Inc. Annual Reports

2010 Calculations

1 Quick ratio = Total quick assets ÷ Current liabilities
= ÷ =

Ratio Description The company
Quick ratio A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. Philip Morris International Inc.'s quick ratio deteriorated from 2008 to 2009 and from 2009 to 2010.

Cash Ratio

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    Dec 31, 2010 Dec 31, 2009 Dec 31, 2008 Dec 31, 2007 Dec 31, 2006
  Selected Financial Data (USD $ in millions)
Cash and cash equivalents
Total cash assets
Current liabilities
  Cash Ratio, Comparison to Industry
Philip Morris International Inc.1
  Industry, Consumer Goods

Source: Based on data from Philip Morris International Inc. Annual Reports

2010 Calculations

1 Cash ratio = Total cash assets ÷ Current liabilities
= ÷ =

Ratio Description The company
Cash ratio A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. Philip Morris International Inc.'s cash ratio deteriorated from 2008 to 2009 and from 2009 to 2010.

February 8, 2012

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