CenterPoint Energy Inc (CNP)
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 | 24,000 | 112,000 | 82,000 | 179,000 | 90,000 | 120,000 | 214,000 | 114,000 | 74,000 | 114,000 | 555,000 | 125,000 | 230,000 | 133,000 | 136,000 | 146,000 | 147,000 | 185,000 | 168,000 | 220,000 |
| Short-term investments | US$ in thousands | 561,000 | 531,000 | 477,000 | 458,000 | 541,000 | 566,000 | 517,000 | 548,000 | 510,000 | 452,000 | 658,000 | 720,000 | 1,439,000 | 911,000 | 923,000 | 848,000 | 871,000 | 836,000 | 753,000 | 678,000 |
| Total current liabilities | US$ in thousands | 4,045,000 | 3,836,000 | 3,410,000 | 3,430,000 | 3,864,000 | 3,893,000 | 3,184,000 | 3,150,000 | 5,113,000 | 4,611,000 | 4,318,000 | 4,605,000 | 4,287,000 | 4,507,000 | 3,369,000 | 4,326,000 | 4,825,000 | 3,830,000 | 4,309,000 | 4,042,000 |
| Cash ratio | 0.14 | 0.17 | 0.16 | 0.19 | 0.16 | 0.18 | 0.23 | 0.21 | 0.11 | 0.12 | 0.28 | 0.18 | 0.39 | 0.23 | 0.31 | 0.23 | 0.21 | 0.27 | 0.21 | 0.22 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($24,000K
+ $561,000K)
÷ $4,045,000K
= 0.14
The cash ratio of CenterPoint Energy Inc has fluctuated over the years, ranging from 0.11 to 0.39. The cash ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet short-term obligations without relying on external sources of funding.
In the period under review, the cash ratio appears to have peaked at 0.39 on December 31, 2021, suggesting a healthy cash position relative to its short-term liabilities at that time. However, it decreased to 0.12 on September 30, 2022, and gradually recovered to 0.17 as of September 30, 2024.
The fluctuation in the cash ratio could be attributed to various factors such as changes in cash holdings, investments in short-term assets, and variations in short-term liabilities. It is important for investors and stakeholders to monitor the cash ratio to assess the company's liquidity position and its ability to weather financial challenges. Further analysis of the company's cash flow and liquidity management practices may provide insights into the reasons behind these fluctuations in the cash ratio.
Peer comparison
Dec 31, 2024