Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Time Warner Cable Inc., liquidity ratios
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Current ratio | 0.62 | 0.52 | 0.41 | 0.92 | 1.19 | |
| Quick ratio | 0.53 | 0.37 | 0.28 | 0.81 | 1.11 | |
| Cash ratio | 0.30 | 0.16 | 0.10 | 0.65 | 0.96 |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Time Warner Cable Inc. current ratio improved from 2013 to 2014 and from 2014 to 2015. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Time Warner Cable Inc. quick ratio improved from 2013 to 2014 and from 2014 to 2015. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Time Warner Cable Inc. cash ratio improved from 2013 to 2014 and from 2014 to 2015. |
Current Ratio
Time Warner Cable Inc., current ratio calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current assets | 2,459) | 2,316) | 2,144) | 4,877) | 6,398) | |
| Current liabilities | 3,949) | 4,497) | 5,226) | 5,325) | 5,370) | |
| Liquidity Ratio | ||||||
| Current ratio1 | 0.62 | 0.52 | 0.41 | 0.92 | 1.19 | |
| Benchmarks | ||||||
| Current Ratio, Competitors2 | ||||||
| Alphabet Inc. | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | |
| Walt Disney Co. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Current ratio = Current assets ÷ Current liabilities
= 2,459 ÷ 3,949 = 0.62
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. | Time Warner Cable Inc. current ratio improved from 2013 to 2014 and from 2014 to 2015. |
Quick Ratio
Time Warner Cable Inc., quick ratio calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and equivalents | 1,170) | 707) | 525) | 3,304) | 5,177) | |
| Short-term investments in U.S. Treasury securities | —) | —) | —) | 150) | —) | |
| Receivables, less allowances | 916) | 949) | 954) | 883) | 767) | |
| Total quick assets | 2,086) | 1,656) | 1,479) | 4,337) | 5,944) | |
| Current liabilities | 3,949) | 4,497) | 5,226) | 5,325) | 5,370) | |
| Liquidity Ratio | ||||||
| Quick ratio1 | 0.53 | 0.37 | 0.28 | 0.81 | 1.11 | |
| Benchmarks | ||||||
| Quick Ratio, Competitors2 | ||||||
| Alphabet Inc. | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | |
| Walt Disney Co. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 2,086 ÷ 3,949 = 0.53
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. | Time Warner Cable Inc. quick ratio improved from 2013 to 2014 and from 2014 to 2015. |
Cash Ratio
Time Warner Cable Inc., cash ratio calculation, comparison to benchmarks
| Dec 31, 2015 | Dec 31, 2014 | Dec 31, 2013 | Dec 31, 2012 | Dec 31, 2011 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Cash and equivalents | 1,170) | 707) | 525) | 3,304) | 5,177) | |
| Short-term investments in U.S. Treasury securities | —) | —) | —) | 150) | —) | |
| Total cash assets | 1,170) | 707) | 525) | 3,454) | 5,177) | |
| Current liabilities | 3,949) | 4,497) | 5,226) | 5,325) | 5,370) | |
| Liquidity Ratio | ||||||
| Cash ratio1 | 0.30 | 0.16 | 0.10 | 0.65 | 0.96 | |
| Benchmarks | ||||||
| Cash Ratio, Competitors2 | ||||||
| Alphabet Inc. | — | — | — | — | — | |
| Comcast Corp. | — | — | — | — | — | |
| Meta Platforms Inc. | — | — | — | — | — | |
| Netflix Inc. | — | — | — | — | — | |
| Walt Disney Co. | — | — | — | — | — | |
Based on: 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31).
1 2015 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 1,170 ÷ 3,949 = 0.30
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. | Time Warner Cable Inc. cash ratio improved from 2013 to 2014 and from 2014 to 2015. |