Crane Company (CR)

Liquidity ratios

	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
Current ratio	2.70	2.18	2.13	2.18	2.34	2.55	2.58	1.74	1.15	1.38	2.04	2.07	2.19	2.30	2.20	1.59	1.49	1.42	1.33	1.37
Quick ratio	0.59	0.45	0.44	0.45	0.71	0.66	0.55	0.52	0.44	0.41	0.77	0.39	0.60	0.59	0.55	0.57	0.52	0.53	0.48	0.29
Cash ratio	0.59	0.45	0.44	0.45	0.71	0.66	0.55	0.52	0.44	0.41	0.77	0.39	0.60	0.59	0.55	0.57	0.52	0.53	0.48	0.29

The liquidity ratios of Crane Company have shown varying trends over the past few years.

1. Current ratio: The current ratio measures the company's ability to cover its short-term liabilities with its short-term assets. The company's current ratio has generally been increasing from 2020 to 2023, peaking at 2.70 in December 31, 2024. However, there was a slight decrease in the current ratio in the first quarter of 2023 followed by a significant drop in the last two quarters of 2024.

2. Quick ratio: The quick ratio, also known as the acid-test ratio, provides a more stringent measure of the company's ability to meet short-term obligations without relying on inventory. Crane Company's quick ratio has fluctuated over the years, with some periods showing improvement while others showing a decline. The ratio ranged from 0.29 in March 31, 2020, to 0.71 in December 31, 2023, before decreasing to 0.59 in December 31, 2024.

3. Cash ratio: The cash ratio is the most conservative measure of liquidity as it only considers cash and cash equivalents to cover short-term liabilities. Crane Company's cash ratio has also shown fluctuations over the years, ranging from 0.29 in March 31, 2020, to 0.71 in December 31, 2023, and then dropping slightly to 0.59 in December 31, 2024.

Overall, while Crane Company's liquidity ratios have displayed some volatility, it is important to closely monitor these ratios to ensure the company has sufficient liquidity to meet its short-term obligations.

Additional liquidity measure

		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 conversion cycle	days	109.90	103.76	103.94	106.18	88.53	79.83	74.69	90.39	80.96	80.42	80.78	112.85	102.88	103.46	108.03	82.34	82.69	74.30	76.92	76.44

The cash conversion cycle of Crane Company has displayed some fluctuations over the past few years. From March 31, 2020, to December 31, 2020, the cash conversion cycle increased from 76.44 days to 82.69 days, indicating a lengthening time to convert company resources into cash.

Throughout 2021, the cycle continued to fluctuate, reaching a peak of 112.85 days on March 31, 2022, before declining to 74.69 days on June 30, 2023. This significant decrease suggests a more efficient management of working capital to fund company operations.

In the subsequent periods, the cash conversion cycle remained relatively stable, hovering around 100 days, with a slight increase observed towards the end of 2024. The company should closely monitor this metric to ensure optimal management of its cash flow and working capital efficiency.