Adtalem Global Education Inc (ATGE)

Cash ratio

		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	Dec 31, 2019	Sep 30, 2019
Cash and cash equivalents	US$ in thousands	219,306	179,762	182,894	260,826	272,194	313,760	207,776	327,515	346,973	788,729	275,420	323,994	476,377	461,605	415,907	561,170	500,516	167,771	67,282	121,079
Short-term investments	US$ in thousands	—	14,000	13,300	1,612	1,495	1,613	18,100	17,000	17,800	20,200	21,600	36,101	18,236	10,890	10,541	9,434	8,968	7,754	9,229	8,763
Total current liabilities	US$ in thousands	487,657	509,110	398,573	495,635	431,203	437,920	371,462	490,549	423,647	526,372	497,475	636,230	408,807	382,452	340,856	409,937	345,983	344,686	304,188	412,475
Cash ratio		0.45	0.38	0.49	0.53	0.63	0.72	0.61	0.70	0.86	1.54	0.60	0.57	1.21	1.24	1.25	1.39	1.47	0.51	0.25	0.31

June 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($219,306K + $—K) ÷ $487,657K
= 0.45

The cash ratio of Adtalem Global Education Inc has exhibited fluctuations over the past several quarters, ranging from a low of 0.25 to a high of 1.54. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger ability to cover short-term obligations.

In the most recent quarter, the cash ratio stood at 0.45, indicating that the company had $0.45 in cash and cash equivalents for every dollar of short-term liabilities. This ratio has decreased from the previous quarter, suggesting a potential decrease in the company's liquidity position.

It is worth noting that the cash ratio surpassed 1 in some quarters, indicating that the company had more cash on hand than short-term liabilities during those periods. This may signify a conservative approach to liquidity management or an accumulation of excess cash reserves.

Overall, while the cash ratio provides insight into Adtalem Global Education Inc's short-term liquidity position, investors and analysts should consider other financial metrics and qualitative factors to gain a comprehensive understanding of the company's financial health.