Central Garden & Pet Company (CENT)
Cash ratio
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 753,550 | 570,398 | 301,332 | 341,419 | 488,730 | 333,139 | 60,607 | 87,800 | 177,442 | 195,791 | 54,082 | 296,038 | 426,422 | 517,052 | 39,869 | 608,285 | 652,712 | 495,339 | 331,555 | 445,813 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0 | — | 0 |
| Total current liabilities | US$ in thousands | 515,384 | 521,445 | 556,490 | 494,171 | 457,987 | 496,387 | 475,949 | 423,039 | 465,892 | 516,187 | 570,749 | 513,350 | 522,319 | 511,007 | 536,763 | 441,212 | 440,262 | 385,250 | 357,100 | 343,860 |
| Cash ratio | 1.46 | 1.09 | 0.54 | 0.69 | 1.07 | 0.67 | 0.13 | 0.21 | 0.38 | 0.38 | 0.09 | 0.58 | 0.82 | 1.01 | 0.07 | 1.38 | 1.48 | 1.29 | 0.93 | 1.30 |
September 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($753,550K
+ $—K)
÷ $515,384K
= 1.46
The cash ratio of Central Garden & Pet Company has displayed fluctuations over the provided period. The cash ratio, which measures the company's ability to cover its short-term liabilities with cash and cash equivalents, has ranged from as low as 0.07 to as high as 1.46.
In analyzing the trend, we observe that the cash ratio has seen considerable variability, indicating changes in the company's liquidity position. Specifically, the cash ratio was relatively low in the first quarter of 2021 at 0.07 but improved significantly by the fourth quarter of the same year to 1.38. This increase suggests an enhanced ability to meet short-term obligations with available cash.
The cash ratio experienced further fluctuations in the subsequent quarters. Notably, the ratio spiked to 1.46 in the most recent period, indicating a strong cash position relative to short-term liabilities. Conversely, the ratio fell to 0.54 in the second quarter of 2024, suggesting a potential liquidity challenge during that period.
Overall, while the cash ratio has shown variability, the company's ability to cover short-term liabilities with cash and cash equivalents has generally exhibited improvement over the analyzed period with occasional fluctuations. It is important for Central Garden & Pet Company to monitor and manage its liquidity position effectively to ensure its ability to meet its financial obligations in a timely manner.
Peer comparison
Sep 30, 2024