Carnival Corporation (CCL)

Cash ratio

		Nov 30, 2024	Nov 30, 2023	Nov 30, 2022	Nov 30, 2021	Nov 30, 2020
Cash and cash equivalents	US$ in thousands	1,210,000	2,415,000	4,029,000	8,939,000	9,513,000
Short-term investments	US$ in thousands	—	2,985,000	0	200,000	0
Total current liabilities	US$ in thousands	11,617,000	11,481,000	10,605,000	10,408,000	8,686,000
Cash ratio		0.10	0.47	0.38	0.88	1.10

November 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,210,000K + $—K) ÷ $11,617,000K
= 0.10

The cash ratio of Carnival Corporation has experienced fluctuations over the years, indicating changes in the company's liquidity position. In November 2020, the cash ratio stood at a healthy 1.10, suggesting that the company had $1.10 in cash and cash equivalents for every $1 of current liabilities. However, by November 2024, the cash ratio had significantly decreased to 0.10, highlighting a potential liquidity concern as the company only had $0.10 in cash and cash equivalents for every $1 of current liabilities. The downward trend in the cash ratio from 2020 to 2024 indicates a potential decrease in the company's ability to meet its short-term obligations using its available cash resources. It is important for Carnival Corporation to closely monitor its liquidity position and implement strategies to improve its cash reserves to ensure financial stability in the future.