Analysis of Liquidity Ratios
Quarterly Data
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Philip Morris International Inc., liquidity ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 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).
The liquidity profile demonstrates a persistent pattern of operating with current liabilities exceeding current assets for the majority of the analyzed period, although a gradual improvement in the overall liquidity position is evident toward the final quarters. A cyclical volatility is observed, specifically around year-end closures, where liquidity ratios typically reach their lowest points before recovering in the subsequent first quarter.
- Current Ratio
- The current ratio fluctuates between a low of 0.72 in December 2022 and a peak of 1.02 in September 2026. While the ratio remained predominantly below the 1.0 threshold—indicating that short-term obligations exceeded short-term assets—a clear upward trajectory is observed from March 2024 onward, culminating in a position of net positive working capital by the end of the period.
- Quick Ratio
- The quick ratio exhibits a similar cyclical trend, with significant troughs occurring in December 2022 (0.29) and December 2023 (0.28). The consistent gap between the current ratio and the quick ratio suggests a substantial portion of current assets is tied up in inventory. However, a steady recovery is noted from 2024, with the ratio increasing to 0.52 by September 2026, reflecting improved immediate solvency.
- Cash Ratio
- Cash liquidity remains the most constrained metric, with values ranging from 0.11 to 0.27. A period of relative weakness was observed throughout 2023, with the ratio dipping to 0.11 in March. A sustained recovery is evident from March 2024 (0.18) through September 2026 (0.27), indicating a gradual increase in the proportion of highly liquid assets relative to current liabilities.
The synchronized improvement across all three liquidity metrics starting in 2024 suggests a systematic strengthening of the short-term financial position. The trend indicates a shift toward a more conservative liquidity posture, reducing the reliance on external financing or inventory liquidation to meet immediate obligations.
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Current Ratio
Philip Morris International Inc., current ratio calculation (quarterly data)
| Sep 30, 2026 | Jun 30, 2026 | 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 | 25,788) | 26,006) | 25,602) | 24,363) | 22,665) | 23,364) | 22,196) | 20,170) | 20,796) | 21,028) | 20,874) | 19,755) | 19,193) | 19,836) | 19,571) | 19,619) | 19,035) | 18,376) | 18,724) | ||||||
| Current liabilities | 25,195) | 26,542) | 26,222) | 25,427) | 26,719) | 28,148) | 28,087) | 22,915) | 23,366) | 22,416) | 22,168) | 26,383) | 21,547) | 23,245) | 22,985) | 27,336) | 20,772) | 20,547) | 20,417) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||||
| Current ratio1 | 1.02 | 0.98 | 0.98 | 0.96 | 0.85 | 0.83 | 0.79 | 0.88 | 0.89 | 0.94 | 0.94 | 0.75 | 0.89 | 0.85 | 0.85 | 0.72 | 0.92 | 0.89 | 0.92 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Current Ratio, Competitors2 | |||||||||||||||||||||||||
| Coca-Cola Co. | 1.38 | 1.30 | 1.36 | 1.46 | 1.21 | 1.21 | 1.10 | 1.03 | 1.06 | 1.08 | 1.04 | 1.13 | 1.14 | 1.14 | 1.15 | 1.15 | 1.13 | 1.13 | 1.18 | ||||||
| Mondelēz International Inc. | 0.62 | 0.60 | 0.54 | 0.59 | 0.61 | 0.64 | 0.61 | 0.68 | 0.63 | 0.68 | 0.77 | 0.62 | 0.61 | 0.65 | 0.68 | 0.60 | 0.69 | 0.68 | 0.68 | ||||||
| PepsiCo Inc. | 0.94 | 0.93 | 0.90 | 0.85 | 0.91 | 0.78 | 0.83 | 0.82 | 0.89 | 0.83 | 0.86 | 0.85 | 0.88 | 0.84 | 0.87 | 0.80 | 0.92 | 0.83 | 0.87 | ||||||
Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 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 Q3 2026 Calculation
Current ratio = Current assets ÷ Current liabilities
= 25,788 ÷ 25,195 = 1.02
2 Click competitor name to see calculations.
The liquidity profile exhibits a period of volatility followed by a gradual strengthening of the short-term financial position. Throughout the majority of the analyzed timeframe, the current ratio remained below 1.0, indicating that current liabilities generally exceeded current assets. However, a sustained upward trajectory in the latter half of the period suggests a shift toward a more balanced liquidity stance.
- Current Assets Trend
- A consistent growth pattern is observed in current assets, which rose from 18,724 million USD in March 2022 to 25,788 million USD by September 2026. This steady expansion indicates a progressive increase in the organization's liquid resources over the observed period.
- Current Liabilities Volatility
- Current liabilities demonstrated significant fluctuations, with notable peaks occurring in December 2022 (27,336 million USD) and again during the first half of 2025, where they reached approximately 28,148 million USD. These periodic increases in short-term obligations frequently exerted downward pressure on the liquidity ratio.
- Current Ratio Analysis
- The current ratio fluctuated between a minimum of 0.72 in December 2022 and a maximum of 1.02 in September 2026. While the ratio spent several years below the 1.0 threshold—suggesting an aggressive working capital management strategy—a decisive recovery trend began in June 2025. This trend culminated in the ratio surpassing 1.0 by September 2026, marking a transition toward a more conservative liquidity position where short-term assets fully cover short-term obligations.
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Quick Ratio
Philip Morris International Inc., quick ratio calculation (quarterly data)
| Sep 30, 2026 | Jun 30, 2026 | 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 | 6,683) | 5,999) | 5,450) | 4,872) | 4,037) | 4,138) | 4,443) | 4,216) | 4,258) | 4,807) | 3,968) | 3,060) | 3,017) | 3,492) | 2,428) | 3,207) | 5,368) | 5,036) | 4,622) | ||||||
| Trade receivables, less allowances | 5,156) | 5,179) | 5,120) | 4,572) | 4,796) | 4,994) | 4,880) | 3,789) | 4,239) | 4,240) | 4,188) | 3,461) | 3,891) | 4,110) | 3,642) | 3,850) | 3,862) | 3,822) | 3,650) | ||||||
| Other receivables, less allowances | 1,375) | 1,295) | 1,270) | 1,238) | 1,027) | 895) | 913) | 886) | 952) | 877) | 864) | 930) | 898) | 902) | 957) | 906) | 749) | 771) | 768) | ||||||
| Total quick assets | 13,214) | 12,473) | 11,840) | 10,682) | 9,860) | 10,027) | 10,236) | 8,891) | 9,449) | 9,924) | 9,020) | 7,451) | 7,806) | 8,504) | 7,027) | 7,963) | 9,979) | 9,629) | 9,040) | ||||||
| Current liabilities | 25,195) | 26,542) | 26,222) | 25,427) | 26,719) | 28,148) | 28,087) | 22,915) | 23,366) | 22,416) | 22,168) | 26,383) | 21,547) | 23,245) | 22,985) | 27,336) | 20,772) | 20,547) | 20,417) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||||
| Quick ratio1 | 0.52 | 0.47 | 0.45 | 0.42 | 0.37 | 0.36 | 0.36 | 0.39 | 0.40 | 0.44 | 0.41 | 0.28 | 0.36 | 0.37 | 0.31 | 0.29 | 0.48 | 0.47 | 0.44 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Quick Ratio, Competitors2 | |||||||||||||||||||||||||
| Coca-Cola Co. | 0.83 | 0.80 | 0.78 | 0.89 | 0.88 | 0.84 | 0.75 | 0.72 | 0.78 | 0.80 | 0.75 | 0.72 | 0.78 | 0.82 | 0.81 | 0.77 | 0.80 | 0.78 | 0.80 | ||||||
| Mondelēz International Inc. | 0.29 | 0.27 | 0.25 | 0.28 | 0.26 | 0.25 | 0.28 | 0.27 | 0.25 | 0.20 | 0.21 | 0.29 | 0.27 | 0.25 | 0.29 | 0.30 | 0.35 | 0.32 | 0.35 | ||||||
| PepsiCo Inc. | 0.72 | 0.69 | 0.67 | 0.64 | 0.68 | 0.56 | 0.62 | 0.62 | 0.66 | 0.60 | 0.64 | 0.66 | 0.68 | 0.60 | 0.61 | 0.58 | 0.68 | 0.59 | 0.63 | ||||||
Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 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 Q3 2026 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 13,214 ÷ 25,195 = 0.52
2 Click competitor name to see calculations.
The liquidity profile exhibits a cyclical pattern characterized by periodic fluctuations in both quick assets and current liabilities, with a notable improving trend in the quick ratio during the latter half of the analyzed period.
- Quick Asset Trends
- Total quick assets demonstrated volatility between 2022 and 2024, fluctuating within a range of approximately 7 billion to 10 billion USD. However, a sustained growth trajectory began in late 2024, with assets rising from 8.89 billion USD in September 2024 to a peak of 13.21 billion USD by September 2026.
- Current Liability Patterns
- Current liabilities showed recurring spikes, particularly during the December quarters of 2022 and 2023, and the first half of 2025, where obligations reached levels between 26 billion and 28 billion USD. Despite these peaks, liabilities remained relatively stable throughout 2026, ending the period at 25.20 billion USD.
- Quick Ratio Analysis
- The quick ratio remained consistently below 1.0, indicating that liquid assets were insufficient to cover immediate current liabilities. A cyclical dip is observed annually toward the end of the calendar year, reaching a minimum of 0.28 on December 31, 2023. Following this trough, a consistent recovery is evident, with the ratio climbing steadily to a period high of 0.52 by September 30, 2026.
- Liquidity Correlation
- The improvement in the quick ratio from 2024 through 2026 is primarily driven by the substantial expansion of total quick assets coupled with a moderation in current liabilities. This divergence indicates an strengthening of the immediate liquidity position compared to the 2022-2023 window.
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Cash Ratio
Philip Morris International Inc., cash ratio calculation (quarterly data)
| Sep 30, 2026 | Jun 30, 2026 | 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 | 6,683) | 5,999) | 5,450) | 4,872) | 4,037) | 4,138) | 4,443) | 4,216) | 4,258) | 4,807) | 3,968) | 3,060) | 3,017) | 3,492) | 2,428) | 3,207) | 5,368) | 5,036) | 4,622) | ||||||
| Total cash assets | 6,683) | 5,999) | 5,450) | 4,872) | 4,037) | 4,138) | 4,443) | 4,216) | 4,258) | 4,807) | 3,968) | 3,060) | 3,017) | 3,492) | 2,428) | 3,207) | 5,368) | 5,036) | 4,622) | ||||||
| Current liabilities | 25,195) | 26,542) | 26,222) | 25,427) | 26,719) | 28,148) | 28,087) | 22,915) | 23,366) | 22,416) | 22,168) | 26,383) | 21,547) | 23,245) | 22,985) | 27,336) | 20,772) | 20,547) | 20,417) | ||||||
| Liquidity Ratio | |||||||||||||||||||||||||
| Cash ratio1 | 0.27 | 0.23 | 0.21 | 0.19 | 0.15 | 0.15 | 0.16 | 0.18 | 0.18 | 0.21 | 0.18 | 0.12 | 0.14 | 0.15 | 0.11 | 0.12 | 0.26 | 0.25 | 0.23 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| Cash Ratio, Competitors2 | |||||||||||||||||||||||||
| Coca-Cola Co. | 0.69 | 0.65 | 0.62 | 0.74 | 0.70 | 0.65 | 0.58 | 0.58 | 0.64 | 0.65 | 0.60 | 0.58 | 0.63 | 0.65 | 0.61 | 0.59 | 0.62 | 0.57 | 0.55 | ||||||
| Mondelēz International Inc. | 0.07 | 0.08 | 0.06 | 0.10 | 0.06 | 0.08 | 0.07 | 0.07 | 0.07 | 0.06 | 0.05 | 0.10 | 0.09 | 0.08 | 0.10 | 0.11 | 0.15 | 0.14 | 0.14 | ||||||
| PepsiCo Inc. | 0.32 | 0.31 | 0.31 | 0.29 | 0.27 | 0.22 | 0.27 | 0.29 | 0.27 | 0.21 | 0.28 | 0.32 | 0.31 | 0.22 | 0.20 | 0.20 | 0.26 | 0.21 | 0.27 | ||||||
Based on: 10-Q (reporting date: 2026-09-30), 10-Q (reporting date: 2026-06-30), 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 Q3 2026 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,683 ÷ 25,195 = 0.27
2 Click competitor name to see calculations.
The liquidity position exhibits a period of volatility followed by a sustained recovery in the relationship between cash assets and current liabilities. A significant contraction in immediate liquidity occurred between December 2022 and March 2023, after which a gradual and consistent strengthening of the cash position is observed.
- Total Cash Assets Trend
- Cash holdings experienced a sharp decline from a peak of 5,368 million US$ in September 2022 to a period low of 2,428 million US$ in March 2023. Following this trough, a steady growth trajectory is evident, particularly from March 2024 onward, culminating in a peak of 6,683 million US$ by September 2026.
- Current Liabilities Behavior
- Short-term obligations demonstrate periodic escalation, with notable spikes occurring in December 2022 (27,336 million US$) and December 2023 (26,383 million US$). This suggests a cyclical pattern of liability increases toward the end of the calendar year, although obligations stabilized toward the end of the observed period at 25,195 million US$ in September 2026.
- Cash Ratio Analysis
- The cash ratio shifted from a high of 0.26 in September 2022 to a low of 0.11 in March 2023. A recovery phase began in 2024, with the ratio trending upward from 0.18 in March 2024 to 0.27 by September 2026. This upward trend indicates an improved capacity to meet short-term obligations using only the most liquid assets, although the ratio remains consistently below 0.30 throughout the entire timeframe.
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