B&G Foods Inc (BGS)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	41,094	45,442	33,690	52,182	11,315
Short-term investments	US$ in thousands	—	—	—	—	—
Total current liabilities	US$ in thousands	262,418	271,534	244,287	245,652	216,908
Cash ratio		0.16	0.17	0.14	0.21	0.05

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($41,094K + $—K) ÷ $262,418K
= 0.16

The cash ratio of B&G Foods Inc has been fluctuating over the past five years. The ratio was 0.16 as of December 31, 2023, indicating that for every dollar of current liabilities, the company had $0.16 in cash or cash equivalents on hand.

Comparing this to previous years, we see that the cash ratio was 0.17 in 2022, 0.14 in 2021, 0.21 in 2020, and 0.05 in 2019. The downward trend from 0.21 in 2020 to 0.16 in 2023 suggests a decrease in the company's ability to cover its short-term obligations with its cash reserves.

It is important to note that a higher cash ratio indicates a stronger liquidity position, as it implies the company has more cash available to meet its short-term liabilities. Conversely, a lower cash ratio may raise concerns about the company's ability to cover its immediate financial obligations.

Overall, B&G Foods Inc's cash ratio has shown variability over the years, and investors and analysts may want to further investigate the reasons behind these fluctuations to assess the company's liquidity position accurately.