Colgate-Palmolive Company (CL)

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	1,096,000	1,234,000	1,110,000	1,079,000	966,000	951,000	819,000	867,000	775,000	938,000	858,000	877,000	832,000	958,000	937,000	995,000	888,000	989,000	997,000	854,000
Short-term investments	US$ in thousands	160,000	6,942,000	225,000	231,000	179,000	247,000	267,000	7,764,000	175,000	208,000	120,000	58,000	34,000	100,000	70,000	62,000	37,000	80,000	25,000	43,000
Total current liabilities	US$ in thousands	5,759,000	5,565,000	5,350,000	5,314,000	4,741,000	4,602,000	4,632,000	4,441,000	4,004,000	4,492,000	4,395,000	4,566,000	4,051,000	4,281,000	4,203,000	4,539,000	4,404,000	4,481,000	4,580,000	4,443,000
Cash ratio		0.22	1.47	0.25	0.25	0.24	0.26	0.23	1.94	0.24	0.26	0.22	0.20	0.21	0.25	0.24	0.23	0.21	0.24	0.22	0.20

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,096,000K + $160,000K) ÷ $5,759,000K
= 0.22

The cash ratio for Colgate-Palmolive Company has shown a fluctuating trend over the past few years. Starting at 0.20 on March 31, 2020, it gradually increased to 0.26 by September 30, 2022. There was a significant spike to 1.94 on March 31, 2023, which may indicate a temporary increase in cash reserves. The ratio then stabilized around 0.25 in the following periods, with a notable decrease to 1.47 on September 30, 2024, suggesting a higher proportion of cash compared to current liabilities. Overall, the cash ratio demonstrates Colgate-Palmolive's ability to cover its short-term obligations with available cash and cash equivalents.