Benchmark Electronics Inc (BHE)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	277,391	207,430	271,749	390,808	347,558
Short-term investments	US$ in thousands	—	639	—	—	—
Total current liabilities	US$ in thousands	713,547	749,136	654,382	481,136	459,245
Cash ratio		0.39	0.28	0.42	0.81	0.76

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($277,391K + $—K) ÷ $713,547K
= 0.39

The cash ratio of Benchmark Electronics Inc. has shown a declining trend over the past five years. In 2023, the cash ratio stood at 0.70, lower than the ratios of the previous two years. This indicates that the company may have a lower level of cash and cash equivalents relative to its current liabilities in 2023 compared to 2022 and 2021.

In 2023, the cash ratio of 0.70 suggests that Benchmark Electronics Inc. may have a lower capacity to meet its short-term obligations with its readily available cash and cash equivalents. This could potentially signal a tighter liquidity position for the company in 2023 compared to previous years.

Overall, the decreasing trend in the cash ratio implies a need for closer monitoring of Benchmark Electronics Inc.'s liquidity position and potential management of cash resources to ensure the company can meet its short-term obligations effectively.