Avantor Inc (AVTR)

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	272,600	234,900	262,900	236,900	236,400	294,600	372,900	265,600	237,500	283,600	301,700	1,426,100	223,000	172,500	286,600	370,500	415,300	346,300	186,700	173,900
Short-term investments	US$ in thousands	14,900	18,000	16,600	28,500	28,800	19,700	26,200	25,600	5,100	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	1,464,600	1,441,900	1,480,300	1,488,100	1,550,100	1,669,500	1,658,800	1,551,900	1,571,300	1,447,100	1,450,800	1,320,100	1,377,700	1,240,700	1,242,700	1,136,000	1,053,700	1,126,600	1,074,500	1,078,700
Cash ratio		0.20	0.18	0.19	0.18	0.17	0.19	0.24	0.19	0.15	0.20	0.21	1.08	0.16	0.14	0.23	0.33	0.39	0.31	0.17	0.16

June 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($272,600K + $14,900K) ÷ $1,464,600K
= 0.20

The cash ratio of Avantor Inc fluctuated over the past eight quarters, ranging from 0.14 to 1.08. The cash ratio for the most recent quarter, June 30, 2024, was 0.20, indicating that the company had $0.20 of cash and cash equivalents for every $1 of current liabilities. This ratio has been relatively stable over the past few quarters, hovering around 0.18 to 0.21.

Overall, Avantor Inc's cash ratio indicates a moderate level of liquidity, with the ability to cover a portion of its short-term obligations with its cash reserves. However, it is important to note that the cash ratio can vary due to timing of cash flows and capital allocation decisions made by the company. Monitoring the trend of the cash ratio over time can provide insights into the company's liquidity management and financial health.