Clean Harbors Inc (CLH)

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	687,192	512,371	401,992	337,825	444,698	335,965	238,776	304,307	492,603	449,023	344,631	339,584	452,575	646,663	595,574	496,383	519,101	475,706	447,366	432,205
Short-term investments	US$ in thousands	102,634	82,371	91,294	104,811	106,101	84,007	87,346	71,818	62,033	65,034	70,797	75,364	81,724	64,844	70,683	74,320	51,857	56,639	59,326	62,143
Total current liabilities	US$ in thousands	1,102,670	1,121,850	1,061,640	1,017,520	1,037,540	975,387	914,415	926,837	1,020,090	1,017,910	990,058	914,139	925,314	739,901	711,069	650,553	636,145	641,061	604,940	658,412
Cash ratio		0.72	0.53	0.46	0.44	0.53	0.43	0.36	0.41	0.54	0.51	0.42	0.45	0.58	0.96	0.94	0.88	0.90	0.83	0.84	0.75

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($687,192K + $102,634K) ÷ $1,102,670K
= 0.72

The cash ratio of Clean Harbors Inc has shown fluctuation over the past five years, ranging from a low of 0.36 to a high of 0.96. The cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents.

From March 31, 2020, to December 31, 2021, the cash ratio has been consistently above 0.75, reflecting a strong ability to meet short-term obligations. However, there was a notable decrease in the cash ratio in the first quarter of 2022, dropping to 0.45, which could suggest potential challenges in meeting short-term obligations with available cash.

Over the subsequent quarters, the cash ratio remained below 0.60, indicating a more conservative liquidity position. Despite some fluctuations, the cash ratio improved to 0.72 by December 31, 2024, showing an enhanced ability to cover short-term liabilities with cash on hand.

Overall, Clean Harbors Inc appears to have maintained a moderate to strong liquidity position over the analyzed period, with some fluctuations in the cash ratio that may warrant further investigation into the company's cash management strategies.