Alpha and Omega Semiconductor Ltd (AOSL)
Cash ratio
| 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 153,498 | 169,359 | 182,592 | 176,008 | 175,540 | 174,595 | 162,266 | 193,576 | 195,188 | 265,946 | 287,805 | 316,119 | 314,352 | 323,134 | 269,306 | 252,453 | 202,412 | 192,113 | 180,966 | 154,698 |
| Short-term investments | US$ in thousands | — | — | 355,088 | 214 | — | — | — | — | — | — | — | 100 | 100 | 100 | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 152,896 | 155,422 | 151,032 | 151,737 | 154,233 | 159,939 | 161,596 | 187,547 | 172,561 | 214,317 | 221,529 | 244,331 | 266,350 | 199,492 | 177,977 | 257,106 | 233,230 | 211,916 | 211,513 | 198,264 |
| Cash ratio | 1.00 | 1.09 | 3.56 | 1.16 | 1.14 | 1.09 | 1.00 | 1.03 | 1.13 | 1.24 | 1.30 | 1.29 | 1.18 | 1.62 | 1.51 | 0.98 | 0.87 | 0.91 | 0.86 | 0.78 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($153,498K
+ $—K)
÷ $152,896K
= 1.00
The cash ratio of Alpha and Omega Semiconductor Ltd over the analyzed period demonstrates significant fluctuations, reflecting the company's changing liquidity position. From September 30, 2020, to March 31, 2021, the cash ratio steadily increased from 0.78 to 0.91, indicating an improvement in the company's ability to cover its current liabilities with cash and cash equivalents. This upward trend continued, reaching a peak of 1.62 on March 31, 2022, suggesting an even stronger liquidity position during this period, with cash holdings exceeding current liabilities.
Subsequently, the cash ratio experienced a decline, descending to 1.18 by June 30, 2022, and fluctuating within a range close to 1.29 to 1.03 through the remainder of 2022 and into 2023. These fluctuations imply periodic adjustments in cash holdings relative to current liabilities but generally maintain a level that suggests adequate liquidity.
A notable anomaly appears in December 2024, where the cash ratio dramatically spikes to 3.56, significantly surpassing previous recorded values. This suggests a substantial increase in cash reserves relative to current liabilities, potentially resulting from strategic cash accumulation, asset sale proceeds, or other one-time inflows. Following this peak, the ratio declines back to 1.09 by March 2025, aligning with levels observed earlier in the period.
Overall, the trend of the cash ratio indicates that the company has maintained a generally healthy liquidity buffer throughout most of the period, with periods of substantial cash accumulation that could signal strategic liquidity enhancements or temporary inflows. The fluctuations highlight the company's dynamic approach to managing cash relative to its short-term obligations, with the most prominent outlier in late 2024 warranting further investigation into the underlying causes of the elevated cash holdings.