CorVel Corp (CRVL)
Cash ratio
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 170,584 | 162,944 | 138,349 | 131,908 | 105,563 | 106,994 | 91,749 | 86,593 | 71,329 | 78,031 | 75,625 | 94,308 | 97,504 | 115,538 | 131,075 | 138,662 | 139,716 | 128,829 | 106,082 | 94,111 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 16,792 | 216,738 | 212,859 | 200,585 | 184,499 | 188,387 | 186,499 | 187,731 | 167,887 | 186,426 | 175,510 | 181,405 | 171,370 | 170,537 | 162,648 | 152,258 | 162,460 | 158,822 | 149,077 | 138,535 |
| Cash ratio | 10.16 | 0.75 | 0.65 | 0.66 | 0.57 | 0.57 | 0.49 | 0.46 | 0.42 | 0.42 | 0.43 | 0.52 | 0.57 | 0.68 | 0.81 | 0.91 | 0.86 | 0.81 | 0.71 | 0.68 |
March 31, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($170,584K
+ $—K)
÷ $16,792K
= 10.16
The cash ratio of CorVel Corp has been fluctuating over the past few years, with a general increasing trend. 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 that the company has more liquid assets available to cover its short-term obligations.
From June 30, 2020, to September 30, 2022, the cash ratio ranged between 0.42 and 0.91, indicating some variability in the company's liquidity position during this period. However, the cash ratio significantly increased to 10.16 as of March 31, 2025. This substantial increase could be a result of a significant inflow of cash, potentially from operating activities or asset sales, which significantly boosted the company's cash reserves.
Overall, the increasing trend in the cash ratio suggests that CorVel Corp has been improving its ability to cover its short-term liabilities with its available cash and cash equivalents over the years, enhancing its liquidity position and financial stability.