Columbia Sportswear Company (COLM)

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	531,869	306,680	341,822	418,462	350,319	213,282	231,571	361,049	430,241	159,221	413,110	435,240	763,404	599,479	819,806	873,641	790,725	313,429	474,793	671,108
Short-term investments	US$ in thousands	283,608	67,244	369,276	369,270	414,185	1,474	71,225	99,511	722	972	1,108	175,024	131,145	1,132	1,138	920	1,224	1,095	975	35,828
Total current liabilities	US$ in thousands	766,545	566,940	544,441	447,306	596,627	525,960	557,268	568,685	738,718	696,656	618,444	571,014	680,390	590,719	567,600	474,968	552,622	499,594	535,828	610,355
Cash ratio		1.06	0.66	1.31	1.76	1.28	0.41	0.54	0.81	0.58	0.23	0.67	1.07	1.31	1.02	1.45	1.84	1.43	0.63	0.89	1.16

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($531,869K + $283,608K) ÷ $766,545K
= 1.06

The cash ratio of Columbia Sportswear Company, representing its ability to cover its short-term liabilities with its cash and cash equivalents, has exhibited fluctuations over the documented period from March 31, 2020, to December 31, 2024. The ratio started at a relatively healthy 1.16 on March 31, 2020, indicating that the company had $1.16 in cash and equivalents for every $1 of current liabilities.

Throughout the subsequent quarters, the cash ratio showed a declining trend, reaching its lowest point of 0.23 on September 30, 2022. This decline may suggest a potential strain on the company's liquidity position during that period.

After hitting the low, the cash ratio gradually improved, showing signs of recovery. Notably, there were spikes in the ratio on March 31, 2021, and December 31, 2023, where the ratio stood at 1.84 and 1.28, respectively. These peaks indicate strong liquidity positions during those periods, with ample cash to cover short-term obligations.

Overall, the cash ratio of Columbia Sportswear Company has experienced fluctuations over the analyzed period, with periods of both strong and weaker liquidity positions. It is essential for stakeholders to monitor this ratio closely to assess the company's ability to meet its short-term financial obligations efficiently.