Liquidity ratios measure the company ability to meet its short-term obligations.
Paying user area
Try for free
Amgen Inc. pages available for free this week:
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Amgen Inc. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Liquidity Ratios (Summary)
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Current Ratio Trends
- The current ratio demonstrates fluctuations over the observed periods. Initially, it increased from 1.59 in March 2020 to a peak of 2.28 in September 2020, indicating improved short-term liquidity. This was followed by a decline to 1.31 by June 2021, suggesting a reduction in liquid assets relative to current liabilities. The ratio recovered somewhat toward the end of 2021 before stabilizing around the 1.4 to 1.7 range during 2022. A notable spike occurred in the first three quarters of 2023, reaching a high of 3.14 in March 2023, signifying a significant boost in liquidity. However, this was short-lived as the ratio decreased sharply afterward, settling just above 1.1 by March 2025. Overall, the current ratio reflects variable liquidity management with periods of both strengthening and weakening short-term financial position.
- Quick Ratio Trends
- The quick ratio closely mirrors the movements observed in the current ratio but consistently registers lower values, which is expected given its exclusion of inventory. Starting at 1.1 in March 2020, the ratio peaked at 1.65 in September 2020 before declining to a low of 0.86 in June 2021. Thereafter, moderate recovery saw values near or slightly above 1.0 through 2022. Early 2023 experienced a pronounced increase, reaching 2.62 in March 2023, reflecting a strong position in liquid current assets excluding inventories. Following this peak, the ratio trended downward, falling below 1.0 from the end of 2023 into early 2025. This signifies a contraction in readily liquid assets relative to liabilities during that period, highlighting potential tightening in immediate liquidity.
- Cash Ratio Trends
- The cash ratio, representing the most conservative liquidity measure by considering only cash and cash equivalents, exhibits similar cyclical behavior with more pronounced variation. Beginning at 0.68 in March 2020, it rose to a peak of 1.24 in September 2020 before declining to 0.55 in June 2021. After marginal recovery in late 2021 and 2022, the ratio experienced a sharp surge to a high of 2.22 in March 2023, indicative of substantial increases in cash holdings at that time. Subsequently, the cash ratio contracted steadily and reached a low of 0.38 by March 2025. The declines following the 2023 peak suggest significant utilization or reduction of cash reserves, which might indicate greater investment, debt repayment, or distribution activities.
- Overall Observations
- The liquidity ratios collectively reflect periods of fluctuating financial flexibility. A key highlight is the substantial liquidity buildup during early 2023, where all three ratios spiked significantly. This possibly points to a strategic liquidity accumulation or an extraordinary financial event enhancing current asset holdings. Following this, there is a consistent downtrend in liquidity measures through 2024 into early 2025, indicating a drawdown of liquid resources or increased liabilities. The ratios, however, remain above critical distress levels but show a trend warranting monitoring to ensure continued short-term financial stability. The periodic rises and falls suggest responsive liquidity management adapting to operational or market conditions.
Current Ratio
Mar 31, 2025 | 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 | ||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||
Liquidity Ratio | ||||||||||||||||||||||||||||
Current ratio1 | ||||||||||||||||||||||||||||
Benchmarks | ||||||||||||||||||||||||||||
Current Ratio, Competitors2 | ||||||||||||||||||||||||||||
AbbVie Inc. | ||||||||||||||||||||||||||||
Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
Danaher Corp. | ||||||||||||||||||||||||||||
Eli Lilly & Co. | ||||||||||||||||||||||||||||
Gilead Sciences Inc. | ||||||||||||||||||||||||||||
Johnson & Johnson | ||||||||||||||||||||||||||||
Merck & Co. Inc. | ||||||||||||||||||||||||||||
Pfizer Inc. | ||||||||||||||||||||||||||||
Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
Vertex Pharmaceuticals Inc. |
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Current ratio = Current assets ÷ Current liabilities
= ÷ =
2 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several notable trends in the company's liquidity position from March 2020 through March 2025. The focus is primarily on current assets, current liabilities, and the current ratio, which collectively indicate the company's short-term financial health and its ability to cover liabilities with assets during each quarter.
- Current Assets
-
Current assets demonstrated variability over the analyzed periods. Initially, there was a general increase from around 18,813 million US dollars in the first quarter of 2020, peaking notably at 48,477 million US dollars in the third quarter of 2023. This represents a significant accumulation of assets during the mid-cycle years. Subsequently, a decline is observed in the last quarters leading to approximately 26,929 million US dollars by the first quarter of 2025, although this value remains higher relative to the earlier quarters in the series.
- Current Liabilities
-
The level of current liabilities exhibited a generally upward trajectory over the period reviewed. Beginning at 11,827 million US dollars in the first quarter of 2020, liabilities increased steadily, reaching a high near 23,099 million US dollars by the fourth quarter of 2024. After this peak, a slight reduction is seen in the first quarter of 2025 to approximately 23,008 million US dollars, signaling sustained pressure from obligations that the company needs to meet in the short term.
- Current Ratio
-
The current ratio, which measures liquidity by dividing current assets by current liabilities, fluctuated meaningfully throughout the quarters, indicating changing liquidity conditions. The ratio started at 1.59 in early 2020, signaling a moderate ability to cover liabilities. It rose sharply to levels above 2.5 between the first quarter of 2023 and the third quarter of 2023, peaking at 3.14, which suggests a notably stronger liquidity position during this period.
Following this peak, the ratio declined steadily to 1.17 by the first quarter of 2025. This decrease suggests a reduction in liquidity relative to liabilities, approaching closer to the threshold of 1.0, which signals only just sufficient current assets to cover short-term obligations. These fluctuations highlight periods of both strong and tightening liquidity conditions.
Overall, the financial data indicates a phase of asset accumulation and high liquidity up until late 2023, followed by a contraction in both assets and current ratio values alongside increased liabilities. This pattern may imply strategic shifts in working capital management or changes in operational or market conditions affecting short-term financial stability.
Quick Ratio
Mar 31, 2025 | 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 | ||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
Cash and cash equivalents | ||||||||||||||||||||||||||||
Marketable securities | ||||||||||||||||||||||||||||
Trade receivables, net | ||||||||||||||||||||||||||||
Total quick assets | ||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||
Liquidity Ratio | ||||||||||||||||||||||||||||
Quick ratio1 | ||||||||||||||||||||||||||||
Benchmarks | ||||||||||||||||||||||||||||
Quick Ratio, Competitors2 | ||||||||||||||||||||||||||||
AbbVie Inc. | ||||||||||||||||||||||||||||
Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
Danaher Corp. | ||||||||||||||||||||||||||||
Eli Lilly & Co. | ||||||||||||||||||||||||||||
Gilead Sciences Inc. | ||||||||||||||||||||||||||||
Johnson & Johnson | ||||||||||||||||||||||||||||
Merck & Co. Inc. | ||||||||||||||||||||||||||||
Pfizer Inc. | ||||||||||||||||||||||||||||
Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
Vertex Pharmaceuticals Inc. |
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= ÷ =
2 Click competitor name to see calculations.
The quick assets and current liabilities of the company exhibited notable fluctuations over the analyzed quarters, influencing the quick ratio correspondingly. Total quick assets initially increased from $13,021 million in March 2020 to a peak of $17,686 million in September 2021, followed by a decline and subsequent variability with a pronounced spike to $40,886 million in September 2023. After this peak, quick assets decreased significantly by December 2023, reaching levels around $16,235 million to $18,755 million in the most recent quarters, showing some volatility but no clear upward or downward trend.
Current liabilities displayed a general upward trend across the timeframe. Starting at $11,827 million in March 2020, liabilities increased gradually with some fluctuations, reaching approximately $23,008 million by March 2025. This steady rise in liabilities suggests a growing short-term obligation load over time.
The quick ratio followed the interplay of quick assets and current liabilities. Initially, the ratio improved from 1.1 in March 2020 to a peak of 1.65 in September 2020, reflecting stronger liquidity. However, it declined to a low of 0.86 in June 2021, indicating reduced liquidity, before recovering somewhat to 1.19 in September 2021. Subsequently, the quick ratio fluctuated around and below 1.0 for much of 2022, demonstrating borderline liquidity strength relative to current liabilities.
A remarkable increase in the quick ratio appeared in the first three quarters of 2023, reaching as high as 2.62 in March 2023 and remaining above 2.3 until September 2023. This sharp rise indicates a substantial improvement in short-term liquidity, driven mainly by the surge in quick assets during this period. Following that, the quick ratio dropped dramatically in the last quarter of 2023 and throughout 2024, stabilizing below 0.85, which is indicative of relatively weaker liquidity and potential challenges in covering short-term liabilities promptly.
In summary, the data reveals periods of strong liquidity early in the timeline and in mid-2023, interspersed with phases of weakened liquidity driven by rising current liabilities and fluctuating quick assets. The recent quarters suggest the need for monitoring liquidity closely, as the quick ratio remains below the level typically considered safe for short-term financial stability.
Cash Ratio
Mar 31, 2025 | 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 | ||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
Cash and cash equivalents | ||||||||||||||||||||||||||||
Marketable securities | ||||||||||||||||||||||||||||
Total cash assets | ||||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||
Liquidity Ratio | ||||||||||||||||||||||||||||
Cash ratio1 | ||||||||||||||||||||||||||||
Benchmarks | ||||||||||||||||||||||||||||
Cash Ratio, Competitors2 | ||||||||||||||||||||||||||||
AbbVie Inc. | ||||||||||||||||||||||||||||
Bristol-Myers Squibb Co. | ||||||||||||||||||||||||||||
Danaher Corp. | ||||||||||||||||||||||||||||
Eli Lilly & Co. | ||||||||||||||||||||||||||||
Gilead Sciences Inc. | ||||||||||||||||||||||||||||
Johnson & Johnson | ||||||||||||||||||||||||||||
Merck & Co. Inc. | ||||||||||||||||||||||||||||
Pfizer Inc. | ||||||||||||||||||||||||||||
Regeneron Pharmaceuticals Inc. | ||||||||||||||||||||||||||||
Thermo Fisher Scientific Inc. | ||||||||||||||||||||||||||||
Vertex Pharmaceuticals Inc. |
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= ÷ =
2 Click competitor name to see calculations.
- Total cash assets
- The total cash assets exhibit notable fluctuations over the periods analyzed. Initially, there is an upward trend from March 2020 to September 2020, peaking at 12,360 million USD. This is followed by a decline through the end of 2020, and fluctuating amounts throughout 2021 and 2022, with values ranging between approximately 6,500 million and 12,000 million USD. A significant spike occurs in the first three quarters of 2023, reaching a peak of 34,741 million USD in September 2023 before dropping sharply to 10,944 million USD at the end of 2023. Subsequent quarters in 2024 show lower and relatively stable cash levels around 9,000 to 12,000 million USD, with a minor decline towards the end of the period.
- Current liabilities
- Current liabilities demonstrate a generally increasing trend throughout the period. Starting at 11,827 million USD in March 2020, liabilities slightly decrease during mid-2020 but then rise steadily from the end of 2020 onward. By March 2025, current liabilities have grown to 23,008 million USD, effectively doubling over the five-year span. This continuous rise indicates expanding short-term obligations.
- Cash ratio
- The cash ratio, reflecting liquidity by comparing cash assets to current liabilities, varies significantly over the timeline. It starts at 0.68 in March 2020 and peaks at 1.24 in September 2020, suggesting a strong liquidity position early in the period. The ratio declines during 2021 and 2022, falling below 1.0 in most quarters, with the lowest values around 0.43 to 0.44 in late 2024, indicating relatively weaker liquidity. A sharp increase in the cash ratio occurs in early 2023, reaching highs above 2.0, mirroring the spike in cash assets. However, this surge is short-lived as the ratio declines sharply again afterwards, ending at 0.38 by the first quarter of 2025, which may indicate decreased capacity to cover short-term liabilities solely through cash.