CH Robinson Worldwide Inc (CHRW)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	145,524	217,482	257,413	243,796	447,858
Short-term investments	US$ in thousands	—	—	—	1,879,930	—
Total current liabilities	US$ in thousands	2,051,990	3,322,850	3,326,340	1,839,730	1,556,040
Cash ratio		0.07	0.07	0.08	1.15	0.29

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($145,524K + $—K) ÷ $2,051,990K
= 0.07

The cash ratio for C.H. Robinson Worldwide, Inc. has exhibited fluctuations over the past five years. The ratio stood at 0.24 as of December 31, 2023, showing an increase compared to the previous year's ratio of 0.18. However, it is lower than the ratios reported in 2021 and 2020, which were 0.25 and 0.27, respectively. The highest cash ratio in the last five years was observed in 2019 at 0.43.

The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet short-term obligations without relying on external sources of financing.

The fluctuation in C.H. Robinson's cash ratio over the years may indicate changes in the company's liquidity position and its management of cash resources. It is important for investors and stakeholders to monitor this ratio to assess the company's liquidity risk and financial health.