Compass Minerals International Inc (CMP)

Cash ratio

		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	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash and cash equivalents	US$ in thousands	40,000	38,300	38,700	58,000	249,700	146,100	46,100	47,200	44,900	20,300	26,300	42,800	10,600	34,100	67,200	109,800	18,000	23,900	20,400	43,800
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	20,000	24,000	—	—	16,700	—	—	—
Total current liabilities	US$ in thousands	200,900	204,300	275,800	246,000	276,000	218,700	233,100	189,400	224,200	197,400	427,700	393,900	296,700	301,800	261,000	259,300	295,900	277,900	276,400	286,000
Cash ratio		0.20	0.19	0.14	0.24	0.90	0.67	0.20	0.25	0.20	0.10	0.06	0.11	0.10	0.19	0.26	0.42	0.12	0.09	0.07	0.15

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($40,000K + $—K) ÷ $200,900K
= 0.20

The cash ratio of Compass Minerals International Inc has exhibited fluctuating trends over the past quarters. The ratio indicates the company's ability to cover its current liabilities with its cash and cash equivalents.

The cash ratio was relatively strong at 0.20 as of March 31, 2024, and also showed a solid level at 0.19 on December 31, 2023. However, the ratio decreased to 0.14 on September 30, 2023, indicating a possible liquidity strain during that period. The ratio improved significantly to 0.24 on June 30, 2023, which suggests a better ability to cover short-term obligations.

In the earlier quarters, the cash ratio was notably high at 0.90 on March 31, 2023, and 0.67 on December 31, 2022, indicating a robust cash position to meet immediate financial obligations. However, there was a notable decline to 0.20 on September 30, 2022, which might have signaled a liquidity issue at that time.

Overall, the cash ratio of Compass Minerals International Inc has shown variability, with both strong and weaker levels observed in different quarters. It is essential for the company to monitor and manage its cash position effectively to ensure it can meet its short-term liabilities as they come due.