Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
ConocoPhillips, liquidity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 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).
Liquidity metrics exhibit a general downward trend over the observed period, although they remain consistently above the 1.0 threshold for both current and quick ratios, suggesting a maintained ability to meet short-term obligations. A significant and synchronized peak occurred across all liquidity ratios in September 2023, followed by a period of gradual decline and eventual stabilization.
- Current Ratio
- The current ratio began at 1.51 in March 2022 and concluded at 1.29 in March 2026. Despite a temporary spike to 1.66 in September 2023, the overall trajectory indicates a tightening of working capital. The ratio transitioned from a higher safety margin in 2022 to a more streamlined position by the end of the period.
- Quick Ratio
- A similar contraction is observed in the quick ratio, which moved from 1.29 in March 2022 to 1.07 in March 2026. The peak of 1.46 in September 2023 underscores a temporary surge in highly liquid assets. The gradual descent toward the 1.0 level suggests a reduction in the liquidity cushion available to cover current liabilities without relying on the sale of inventory.
- Cash Ratio
- The cash ratio demonstrated the highest volatility, peaking at 0.91 in September 2023 before declining to a low of 0.49 in June 2025. While this ratio remains lower than the current and quick ratios, it reflects fluctuations in cash and cash equivalents relative to short-term debt, ending the analyzed period at 0.51.
The narrowing gap between the current and quick ratios over time suggests a shift in the composition of current assets, with a lower relative reliance on inventory to maintain liquidity. The overarching pattern indicates a strategic transition toward leaner liquidity buffers while continuing to sustain a solvency position above critical minimums.
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Current Ratio
ConocoPhillips, current ratio calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Current assets | 16,229) | 15,532) | 15,884) | 13,939) | 16,906) | 15,647) | 13,984) | 13,734) | 13,721) | 14,330) | 17,181) | 13,501) | 16,116) | 18,749) | 20,453) | 18,860) | 17,586) | ||||||
| Current liabilities | 12,586) | 11,972) | 12,009) | 10,986) | 13,329) | 12,124) | 10,765) | 10,324) | 10,163) | 10,005) | 10,338) | 9,548) | 11,553) | 12,847) | 13,997) | 12,216) | 11,624) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||
| Current ratio1 | 1.29 | 1.30 | 1.32 | 1.27 | 1.27 | 1.29 | 1.30 | 1.33 | 1.35 | 1.43 | 1.66 | 1.41 | 1.39 | 1.46 | 1.46 | 1.54 | 1.51 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Current Ratio, Competitors2 | |||||||||||||||||||||||
| Chevron Corp. | 1.09 | 1.15 | 1.15 | 1.00 | 1.08 | 1.06 | 1.07 | 1.16 | 1.23 | 1.27 | 1.25 | 1.43 | 1.43 | 1.47 | 1.40 | 1.31 | 1.43 | ||||||
| Exxon Mobil Corp. | 1.04 | 1.15 | 1.14 | 1.25 | 1.24 | 1.31 | 1.35 | 1.36 | 1.38 | 1.48 | 1.42 | 1.48 | 1.46 | 1.41 | 1.34 | 1.16 | 1.07 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 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).
1 Q1 2026 Calculation
Current ratio = Current assets ÷ Current liabilities
= 16,229 ÷ 12,586 = 1.29
2 Click competitor name to see calculations.
An analysis of the liquidity position reveals a general contraction in the current ratio over the period from March 2022 through March 2026. While the ratio remained consistently above the 1.0 threshold, indicating that short-term obligations were covered by short-term assets throughout the observed timeframe, there is a discernible downward trend in the margin of safety provided by current assets relative to current liabilities.
- Current Ratio Volatility and Trend
- The current ratio reached an initial peak of 1.54 in June 2022 and experienced a significant subsequent spike to 1.66 in September 2023. Following this outlier, a sustained decline occurred throughout 2024, reaching a floor of 1.27 in the first half of 2025. For the remainder of the period, the ratio stabilized, fluctuating marginally between 1.27 and 1.32, ending at 1.29 in March 2026.
- Current Assets and Liabilities Correlation
- Current assets exhibited notable volatility, peaking at 20,453 million US$ in September 2022 before contracting to a period low of 13,501 million US$ in June 2023. Current liabilities mirrored some of this movement, peaking at 13,997 million US$ in September 2022 and again reaching 13,329 million US$ in December 2024. The parallel fluctuations suggest that liquidity shifts were influenced by broad operational adjustments in working capital rather than isolated increases in short-term debt.
- Liquidity Position Assessment
- The progression from a ratio average of approximately 1.50 in 2022 to approximately 1.30 by 2026 indicates a tightening of liquidity. However, the consistency of the ratio above 1.25 in the latter half of the analysis suggests the establishment of a new operational equilibrium. The reduction in the current ratio reflects a more lean management of current assets relative to current obligations without compromising the ability to meet short-term liabilities.
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Quick Ratio
ConocoPhillips, quick ratio calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Cash and cash equivalents | 5,877) | 6,497) | 5,260) | 4,901) | 6,309) | 5,607) | 5,221) | 4,294) | 5,574) | 5,635) | 8,830) | 5,735) | 6,974) | 6,458) | 8,010) | 6,909) | 6,414) | ||||||
| Short-term investments | 486) | 484) | 996) | 439) | 926) | 507) | 1,571) | 1,723) | 487) | 971) | 616) | 1,080) | 1,635) | 2,785) | 2,412) | 1,272) | 730) | ||||||
| Accounts and notes receivable, net | 7,050) | 5,813) | 5,744) | 5,701) | 6,400) | 6,695) | 4,815) | 5,307) | 5,458) | 5,474) | 5,671) | 4,531) | 5,296) | 7,088) | 7,354) | 8,153) | 7,879) | ||||||
| Investment in Cenovus Energy | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total quick assets | 13,413) | 12,794) | 12,000) | 11,041) | 13,635) | 12,809) | 11,607) | 11,324) | 11,519) | 12,080) | 15,117) | 11,346) | 13,905) | 16,331) | 17,776) | 16,334) | 15,023) | ||||||
| Current liabilities | 12,586) | 11,972) | 12,009) | 10,986) | 13,329) | 12,124) | 10,765) | 10,324) | 10,163) | 10,005) | 10,338) | 9,548) | 11,553) | 12,847) | 13,997) | 12,216) | 11,624) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||
| Quick ratio1 | 1.07 | 1.07 | 1.00 | 1.01 | 1.02 | 1.06 | 1.08 | 1.10 | 1.13 | 1.21 | 1.46 | 1.19 | 1.20 | 1.27 | 1.27 | 1.34 | 1.29 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Quick Ratio, Competitors2 | |||||||||||||||||||||||
| Chevron Corp. | 0.73 | 0.73 | 0.72 | 0.62 | 0.68 | 0.71 | 0.68 | 0.73 | 0.81 | 0.87 | 0.84 | 0.97 | 1.03 | 1.12 | 1.03 | 1.00 | 1.12 | ||||||
| Exxon Mobil Corp. | 0.74 | 0.76 | 0.76 | 0.82 | 0.86 | 0.95 | 0.98 | 0.98 | 1.02 | 1.06 | 1.05 | 1.06 | 1.07 | 1.03 | 0.98 | 0.84 | 0.74 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 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).
1 Q1 2026 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 13,413 ÷ 12,586 = 1.07
2 Click competitor name to see calculations.
The company's liquidity position, as measured by the quick ratio, exhibits a gradual long-term downward trajectory from 2022 through mid-2025, before stabilizing in the final quarters of the analyzed period. The ratio moved from a peak of 1.34 in June 2022 toward a floor of 1.00 in September 2025, indicating a transition from a highly liquid position to one of near-parity between liquid assets and short-term obligations.
- Liquidity Trend Analysis
- During 2022, the quick ratio remained strong, consistently staying above 1.25. This period was characterized by elevated total quick assets, which reached a peak of 17,776 million USD in September 2022. The ability to cover current liabilities was most pronounced during this initial phase.
- Erosion of Liquidity Margin
- A steady decline in the quick ratio is observed from 2023 through the first half of 2025. The ratio decreased from 1.21 in December 2023 to 1.01 in June 2025. This contraction is primarily attributed to a reduction in total quick assets, which dropped from the 15,000–17,000 million USD range seen in 2022 to values frequently fluctuating between 11,000 and 13,000 million USD in subsequent years.
- Stabilization and Recent Performance
- After hitting a minimum value of 1.00 in September 2025, the quick ratio shows a slight recovery and stabilization at 1.07 through March 2026. This suggests a shift toward a more lean liquidity strategy where quick assets are maintained at a level just sufficient to cover current liabilities.
- Current Liability Dynamics
- Current liabilities have remained relatively volatile, peaking at 13,997 million USD in September 2022 and 13,329 million USD in March 2025. The fluctuation in these obligations, combined with the general decline in quick assets, contributed to the overall compression of the quick ratio over the analyzed timeframe.
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Cash Ratio
ConocoPhillips, cash ratio calculation (quarterly data)
| Mar 31, 2026 | Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||||
| Cash and cash equivalents | 5,877) | 6,497) | 5,260) | 4,901) | 6,309) | 5,607) | 5,221) | 4,294) | 5,574) | 5,635) | 8,830) | 5,735) | 6,974) | 6,458) | 8,010) | 6,909) | 6,414) | ||||||
| Short-term investments | 486) | 484) | 996) | 439) | 926) | 507) | 1,571) | 1,723) | 487) | 971) | 616) | 1,080) | 1,635) | 2,785) | 2,412) | 1,272) | 730) | ||||||
| Investment in Cenovus Energy | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | —) | ||||||
| Total cash assets | 6,363) | 6,981) | 6,256) | 5,340) | 7,235) | 6,114) | 6,792) | 6,017) | 6,061) | 6,606) | 9,446) | 6,815) | 8,609) | 9,243) | 10,422) | 8,181) | 7,144) | ||||||
| Current liabilities | 12,586) | 11,972) | 12,009) | 10,986) | 13,329) | 12,124) | 10,765) | 10,324) | 10,163) | 10,005) | 10,338) | 9,548) | 11,553) | 12,847) | 13,997) | 12,216) | 11,624) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||
| Cash ratio1 | 0.51 | 0.58 | 0.52 | 0.49 | 0.54 | 0.50 | 0.63 | 0.58 | 0.60 | 0.66 | 0.91 | 0.71 | 0.75 | 0.72 | 0.74 | 0.67 | 0.61 | ||||||
| Benchmarks | |||||||||||||||||||||||
| Cash Ratio, Competitors2 | |||||||||||||||||||||||
| Chevron Corp. | 0.13 | 0.19 | 0.22 | 0.12 | 0.13 | 0.18 | 0.13 | 0.12 | 0.19 | 0.25 | 0.18 | 0.32 | 0.47 | 0.52 | 0.42 | 0.32 | 0.38 | ||||||
| Exxon Mobil Corp. | 0.09 | 0.15 | 0.18 | 0.23 | 0.25 | 0.33 | 0.39 | 0.37 | 0.46 | 0.48 | 0.46 | 0.48 | 0.49 | 0.43 | 0.41 | 0.24 | 0.15 | ||||||
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 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).
1 Q1 2026 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,363 ÷ 12,586 = 0.51
2 Click competitor name to see calculations.
The liquidity profile exhibits significant volatility over the analyzed period, characterized by an initial strengthening phase followed by a sustained contraction in the cash ratio. The ability to cover short-term obligations using only cash and cash equivalents peaked in late 2023 before entering a downward trajectory that persisted through early 2026.
- Cash Ratio Trajectory
- The cash ratio experienced a steady ascent from 0.61 in March 2022 to a peak of 0.91 in September 2023. Following this peak, a marked decline occurred, with the ratio dropping to 0.60 by March 2024 and reaching its lowest point of 0.49 in June 2025. The period concludes with a slight recovery to 0.51 by March 2026, indicating a general reduction in immediate liquidity compared to the 2022-2023 window.
- Cash Asset Volatility
- Total cash assets showed substantial fluctuations, reaching a maximum of 10,422 million USD in September 2022. A subsequent period of depletion is evident, with cash reserves falling to a low of 5,340 million USD in June 2025. This reduction in available cash assets is a primary driver behind the compression of the cash ratio during the latter half of the observed timeframe.
- Current Liabilities Analysis
- Current liabilities remained relatively elevated, generally oscillating between 9,500 million USD and 14,000 million USD. Notable increases in liabilities, such as the rise to 13,329 million USD in March 2025 and 12,586 million USD in March 2026, coincided with lower cash balances, thereby exerting downward pressure on the liquidity ratio.
- Liquidity Correlation
- A strong correlation is observed between the depletion of cash reserves and the deterioration of the cash ratio. The peak liquidity observed in September 2023 was a result of the alignment of high cash assets (9,446 million USD) and relatively moderate current liabilities (10,338 million USD). Conversely, the liquidity trough in mid-2025 reflects the simultaneous occurrence of minimum cash holdings and high short-term obligations.
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