American Woodmark Corporation (AMWD)
Cash ratio
| Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 87,398 | 97,829 | 96,381 | 89,650 | 41,732 | 45,817 | 44,834 | 33,696 | 22,325 | 871 | 8,007 | 27,818 | 91,071 | 91,792 | 112,560 | 128,055 | 47,063 | 51,435 | 71,049 | 57,656 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 500 | 1,500 |
| Total current liabilities | US$ in thousands | 195,726 | 188,281 | 181,489 | 175,502 | 178,124 | 168,120 | 211,196 | 236,864 | 216,228 | 192,950 | 195,134 | 198,817 | 220,447 | 210,883 | 195,148 | 178,065 | 169,202 | 169,409 | 180,427 | 149,590 |
| Cash ratio | 0.45 | 0.52 | 0.53 | 0.51 | 0.23 | 0.27 | 0.21 | 0.14 | 0.10 | 0.00 | 0.04 | 0.14 | 0.41 | 0.44 | 0.58 | 0.72 | 0.28 | 0.30 | 0.40 | 0.40 |
April 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($87,398K
+ $—K)
÷ $195,726K
= 0.45
The cash ratio of American Woodmark Corporation has shown fluctuations over the past few quarters. The cash ratio measures the company's ability to cover its short-term liabilities with its readily available cash and cash equivalents. A higher cash ratio indicates the company has more liquid assets to cover its short-term obligations.
From the data provided, we observe that the cash ratio has varied between 0.00 and 0.72 during the period. Initially starting low at 0.00 in the first few quarters of the available data, the cash ratio gradually increased over time, reaching a peak of 0.72 in July 2020. Subsequently, the ratio fluctuated between 0.10 and 0.58 until January 2023, after which it started to decline.
The cash ratio dipped significantly in April 2023 to 0.23, indicating a potential liquidity strain during that period. However, it then improved to 0.53 in October 2023, showing better liquidity management. There was a slight drop in the cash ratio in January 2024 but rebounded to 0.52 in April 2024.
Overall, the company's cash ratio has displayed some volatility, which may reflect changes in cash management practices, operating cash flows, investments, or financial strategies undertaken by the company. Investors and analysts may need to monitor this ratio closely to assess the company's liquidity position and its ability to meet short-term obligations.