Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Royal Dutch Shell PLC, liquidity ratios
| Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2010 | ||
|---|---|---|---|---|---|---|
| Current ratio | 1.16 | 1.11 | 1.18 | 1.17 | 1.12 | |
| Quick ratio | 0.72 | 0.64 | 0.74 | 0.69 | 0.60 | |
| Cash ratio | 0.25 | 0.10 | 0.19 | 0.11 | 0.13 |
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Royal Dutch Shell PLC current ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Royal Dutch Shell PLC quick ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Royal Dutch Shell PLC cash ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 exceeding 2012 level. |
Current Ratio
Royal Dutch Shell PLC, current ratio calculation, comparison to benchmarks
| Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2010 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 99,778) | 103,343) | 114,734) | 119,777) | 112,894) | |
| Current liabilities | 86,212) | 93,258) | 96,979) | 102,659) | 100,552) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 1.16 | 1.11 | 1.18 | 1.17 | 1.12 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Chevron Corp. | — | — | — | — | — | |
| ConocoPhillips | — | — | — | — | — | |
| Exxon Mobil Corp. | — | — | — | — | — | |
| Marathon Petroleum Corp. | — | — | — | — | — | |
| Occidental Petroleum Corp. | — | — | — | — | — | |
| Pioneer Natural Resources Co. | — | — | — | — | — | |
| Valero Energy Corp. | — | — | — | — | — | |
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
1 2014 Calculation
Current ratio = Current assets ÷ Current liabilities
= 99,778 ÷ 86,212 = 1.16
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Royal Dutch Shell PLC current ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
Quick Ratio
Royal Dutch Shell PLC, quick ratio calculation, comparison to benchmarks
| Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2010 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Trade receivables | 28,393) | 39,094) | 40,210) | 48,307) | 37,436) | |
| Other receivables | 8,968) | 8,315) | 8,844) | 8,204) | 6,291) | |
| Amounts due from joint ventures and associates | 3,173) | 2,948) | 3,716) | 3,231) | 2,982) | |
| Cash and cash equivalents | 21,607) | 9,696) | 18,550) | 11,292) | 13,444) | |
| Total quick assets | 62,141) | 60,053) | 71,320) | 71,034) | 60,153) | |
| Current liabilities | 86,212) | 93,258) | 96,979) | 102,659) | 100,552) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 0.72 | 0.64 | 0.74 | 0.69 | 0.60 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Chevron Corp. | — | — | — | — | — | |
| ConocoPhillips | — | — | — | — | — | |
| Exxon Mobil Corp. | — | — | — | — | — | |
| Marathon Petroleum Corp. | — | — | — | — | — | |
| Occidental Petroleum Corp. | — | — | — | — | — | |
| Pioneer Natural Resources Co. | — | — | — | — | — | |
| Valero Energy Corp. | — | — | — | — | — | |
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
1 2014 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 62,141 ÷ 86,212 = 0.72
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Royal Dutch Shell PLC quick ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 not reaching 2012 level. |
Cash Ratio
Royal Dutch Shell PLC, cash ratio calculation, comparison to benchmarks
| Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | Dec 31, 2010 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and cash equivalents | 21,607) | 9,696) | 18,550) | 11,292) | 13,444) | |
| Total cash assets | 21,607) | 9,696) | 18,550) | 11,292) | 13,444) | |
| Current liabilities | 86,212) | 93,258) | 96,979) | 102,659) | 100,552) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 0.25 | 0.10 | 0.19 | 0.11 | 0.13 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Chevron Corp. | — | — | — | — | — | |
| ConocoPhillips | — | — | — | — | — | |
| Exxon Mobil Corp. | — | — | — | — | — | |
| Marathon Petroleum Corp. | — | — | — | — | — | |
| Occidental Petroleum Corp. | — | — | — | — | — | |
| Pioneer Natural Resources Co. | — | — | — | — | — | |
| Valero Energy Corp. | — | — | — | — | — | |
Based on: 20-F (reporting date: 2014-12-31), 20-F (reporting date: 2013-12-31), 20-F (reporting date: 2012-12-31), 20-F (reporting date: 2011-12-31), 20-F (reporting date: 2010-12-31).
1 2014 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 21,607 ÷ 86,212 = 0.25
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Royal Dutch Shell PLC cash ratio deteriorated from 2012 to 2013 but then improved from 2013 to 2014 exceeding 2012 level. |