Charter Communications Inc (CHTR)

Cash ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cash and cash equivalents	US$ in thousands	459,000	709,000	645,000	601,000	1,001,000
Short-term investments	US$ in thousands	—	19,787,000	—	—	136,848,000
Total current liabilities	US$ in thousands	13,486,000	13,214,000	12,065,000	12,458,000	9,875,000
Cash ratio		0.03	1.55	0.05	0.05	13.96

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($459,000K + $—K) ÷ $13,486,000K
= 0.03

The cash ratio of Charter Communications Inc has shown significant fluctuations over the years based on the provided data. As of December 31, 2020, the cash ratio was relatively high at 13.96, indicating the company had a substantial amount of cash and cash equivalents to cover its current liabilities. However, there was a sharp decrease in the cash ratio by the end of 2021 and 2022, both standing at 0.05, suggesting a significant reduction in the liquidity position.

By December 31, 2023, the cash ratio improved to 1.55, signifying a healthier liquidity position compared to the previous two years. Nevertheless, there was another decline in the cash ratio by the end of 2024, dropping to 0.03, indicating a lower ability to cover current liabilities with cash and cash equivalents.

Overall, the fluctuations in Charter Communications Inc's cash ratio indicate varying levels of liquidity challenges throughout the analyzed period, with a notable improvement in 2023 but a subsequent decline in 2024. The company may need to closely monitor its liquidity management strategies to ensure it maintains an appropriate level of cash reserves to meet its short-term obligations.