ArcBest Corp (ARCB)

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	127,444	150,461	215,590	172,855	262,226	251,503	187,286	203,319	158,264	155,531	127,058	64,108	76,620	408,207	362,619	301,542	303,954	267,645	406,290	352,165
Short-term investments	US$ in thousands	29,759	40,639	44,865	68,065	67,842	89,326	153,116	162,487	167,662	145,758	76,802	37,024	48,339	60,289	59,967	59,316	65,408	83,411	167,719	178,810
Total current liabilities	US$ in thousands	665,985	665,568	645,850	618,575	701,563	668,374	641,266	688,043	768,470	757,372	748,169	740,111	702,694	615,676	560,260	500,742	506,547	497,516	439,652	422,853
Cash ratio		0.24	0.29	0.40	0.39	0.47	0.51	0.53	0.53	0.42	0.40	0.27	0.14	0.18	0.76	0.75	0.72	0.73	0.71	1.31	1.26

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($127,444K + $29,759K) ÷ $665,985K
= 0.24

The cash ratio of ArcBest Corp has fluctuated over the years based on the provided data. The cash ratio measures a company's ability to cover short-term liabilities with its cash and cash equivalents.

In the last five years, the cash ratio has generally been above 1, indicating that ArcBest Corp had sufficient cash to cover its short-term obligations. However, there was a significant decrease in the cash ratio from December 31, 2021, to March 31, 2022, which may suggest a potential liquidity concern during that period.

The cash ratio improved from March 31, 2022, to June 30, 2022, and reached its highest point of 0.53 by June 30, 2023, before declining gradually in the subsequent quarters. The ratio then dropped to 0.24 by the end of December 31, 2024, indicating a lower level of liquidity compared to previous periods.

Overall, the cash ratio trend for ArcBest Corp indicates fluctuations in its liquidity position over the years, with periods of improvement and decline. It is essential for the company to closely monitor its cash reserves to ensure it can meet its short-term obligations effectively.