Agilysys Inc (AGYS)

Cash ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Cash and cash equivalents	US$ in thousands	144,891	116,200	107,413	107,093	112,842	105,818	96,196	94,897	96,971	115,122	106,389	103,911	99,180	92,608	85,706	74,604	46,653	41,905	38,915	37,233
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	89,371	91,207	72,707	73,893	78,515	81,132	62,054	62,777	71,466	64,151	52,199	57,019	61,155	58,425	45,777	56,054	69,423	62,569	52,585	53,756
Cash ratio		1.62	1.27	1.48	1.45	1.44	1.30	1.55	1.51	1.36	1.79	2.04	1.82	1.62	1.59	1.87	1.33	0.67	0.67	0.74	0.69

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($144,891K + $—K) ÷ $89,371K
= 1.62

The cash ratio of Agilysys Inc has shown some fluctuations over the past few quarters. The ratio has generally been above 1, indicating that the company has sufficient cash to cover its short-term liabilities without relying heavily on other current assets.

The cash ratio peaked at 2.04 in the third quarter of 2021, which may have been a result of better cash management or a temporary increase in cash holdings. Since then, the ratio has trended downwards but has remained above 1, suggesting the company's ability to meet its short-term obligations has been maintained.

However, there was a significant drop in the cash ratio in the first quarter of 2020, falling to 0.67, which may indicate a liquidity challenge or a decrease in cash reserves relative to short-term liabilities during that period.

Overall, the cash ratio analysis indicates that Agilysys Inc has generally maintained a healthy level of cash reserves in relation to its short-term obligations, which is a positive signal for its financial stability and liquidity position.