Crescent Energy Co (CRGY)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 132,818 | 2,974 | -10,753 | 128,578 | 36,861 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 827,363 | 750,257 | 893,749 | 616,125 | 120,671 |
| Cash ratio | 0.16 | 0.00 | -0.01 | 0.21 | 0.31 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($132,818K
+ $—K)
÷ $827,363K
= 0.16
The cash ratio of Crescent Energy Co has shown fluctuation over the past years. It stood at 0.31 on December 31, 2020, indicating that the company had $0.31 in cash for every $1 of current liabilities. However, by December 31, 2021, the cash ratio decreased to 0.21, suggesting a lower liquidity position compared to the previous year.
On December 31, 2022, the cash ratio turned negative at -0.01, implying that the company's cash on hand was insufficient to cover its current obligations. This negative cash ratio raises concerns about Crescent Energy Co's ability to meet its short-term financial commitments using its available cash reserves.
By December 31, 2023, the cash ratio improved slightly to 0.00, indicating a breakeven point where the company's cash balance was just enough to cover its current liabilities. However, this minimal improvement may still leave Crescent Energy Co vulnerable to liquidity risks.
On December 31, 2024, the cash ratio increased to 0.16, showing a slight improvement in liquidity compared to the previous year. While the higher cash ratio is a positive sign, Crescent Energy Co may need to further strengthen its cash position to enhance its ability to meet short-term obligations and navigate potential financial challenges effectively.
Peer comparison
Dec 31, 2024