The Clorox Company (CLX)
Cash ratio
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 167,000 | 202,000 | 367,000 | 183,000 | 319,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,919,000 | 1,574,000 | 1,917,000 | 1,784,000 | 2,056,000 |
| Cash ratio | 0.09 | 0.13 | 0.19 | 0.10 | 0.16 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($167,000K
+ $—K)
÷ $1,919,000K
= 0.09
The cash ratio of The Clorox Company has exhibited notable fluctuations over the analyzed period from June 30, 2021, to June 30, 2025. Specifically, the ratio was 0.16 in June 2021, indicating that the company's cash and cash equivalents covered 16% of its current liabilities at that time. This ratio declined to 0.10 by June 30, 2022, reflecting a reduced liquidity position in terms of immediate cash coverage.
Subsequently, the cash ratio increased to 0.19 in June 2023, surpassing the previous year's level and indicating a momentary improvement in liquidity upon cash and equivalents relative to current liabilities. However, this was followed by a decrease to 0.13 in June 2024, representing a decline in relative cash coverage, and further decreased to 0.09 by June 2025, which is the lowest point in the observed period.
Overall, the trend suggests that The Clorox Company's cash ratio has been relatively low and somewhat volatile over the past few years. The ratios remain below 0.20 through the entire period, implying that the company's cash holdings have consistently been insufficient to cover a significant portion of its current liabilities solely with liquid assets. This pattern indicates that Clorox relies more heavily on other current assets or operating cash flows for liquidity management rather than maintaining substantial cash reserves at any given time.