Alaska Air Group Inc (ALK)
Cash ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,201,000 | 1,015,000 | 1,115,000 | 885,000 | 281,000 | 647,000 | 536,000 | 516,000 | 338,000 | 688,000 | 778,000 | 628,000 | 470,000 | 495,000 | 1,025,000 | 1,076,000 | 1,370,000 | 1,855,000 | 1,509,000 | 811,000 |
| Short-term investments | US$ in thousands | 1,274,000 | 1,490,000 | 1,394,000 | 1,393,000 | 1,510,000 | 1,804,000 | 1,906,000 | 1,913,000 | 2,079,000 | 2,462,000 | 2,647,000 | 2,262,000 | 2,646,000 | 2,700,000 | 2,926,000 | 2,473,000 | 1,976,000 | 1,904,000 | 1,294,000 | 1,314,000 |
| Total current liabilities | US$ in thousands | 6,145,000 | 6,248,000 | 4,968,000 | 4,829,000 | 4,459,000 | 5,074,000 | 5,176,000 | 4,857,000 | 4,512,000 | 4,709,000 | 4,902,000 | 4,570,000 | 3,991,000 | 4,038,000 | 4,846,000 | 4,762,000 | 4,271,000 | 4,207,000 | 4,120,000 | 3,730,000 |
| Cash ratio | 0.40 | 0.40 | 0.51 | 0.47 | 0.40 | 0.48 | 0.47 | 0.50 | 0.54 | 0.67 | 0.70 | 0.63 | 0.78 | 0.79 | 0.82 | 0.75 | 0.78 | 0.89 | 0.68 | 0.57 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,201,000K
+ $1,274,000K)
÷ $6,145,000K
= 0.40
The cash ratio of Alaska Air Group Inc has shown some fluctuation over the past few years, ranging from 0.40 to 0.89. The ratio measures the company's ability to cover its short-term obligations with its available cash and cash equivalents.
The ratio peaked at 0.89 on September 30, 2020, indicating that the company had a higher level of cash to cover its short-term liabilities at that time. However, the ratio decreased to 0.40 on December 31, 2024, suggesting a lower level of liquidity compared to the peak.
Overall, although there have been fluctuations, the cash ratio has generally remained within a reasonable range, demonstrating that Alaska Air Group Inc has been able to manage its short-term liquidity effectively. It is important for the company to monitor this ratio closely to ensure it maintains an adequate level of liquidity to meet its obligations as they come due.
Peer comparison
Dec 31, 2024