Black Hills Corporation (BKH)

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	16,100	12,500	624,800	123,000	86,600	594	152,581	39,365	21,400	11,693	10,216	16,330	8,921	10,181	1,175	13,442	6,356	6,955	31,608	54,137
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	30	—	—	—	—	—	—	—	—	15,659	—	—
Total current liabilities	US$ in thousands	763,400	536,200	1,106,800	1,088,400	1,185,100	1,602,670	977,860	1,038,910	1,666,700	969,597	785,180	794,724	901,713	758,117	1,230,530	1,229,600	696,533	513,932	384,965	719,854
Cash ratio		0.02	0.02	0.56	0.11	0.07	0.00	0.16	0.04	0.01	0.01	0.01	0.02	0.01	0.01	0.00	0.01	0.01	0.04	0.08	0.08

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($16,100K + $—K) ÷ $763,400K
= 0.02

The cash ratio of Black Hills Corporation fluctuated over the period from March 31, 2020, to December 31, 2024. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.

Black Hills Corporation's cash ratio remained relatively stable around 0.01 to 0.08 from March 31, 2020, to June 30, 2022. There was a notable decrease in the cash ratio to 0.00 on June 30, 2021, indicating a potential decrease in the company's ability to cover its short-term liabilities with cash on hand.

However, from March 31, 2023, the cash ratio started to increase significantly, reaching a high of 0.56 on June 30, 2024. This substantial increase suggests that Black Hills Corporation significantly improved its liquidity position and ability to meet short-term obligations with cash reserves during this period.

Overall, monitoring the cash ratio can provide insights into Black Hills Corporation's liquidity management and ability to navigate short-term financial obligations.