California Water Service Group (CWT)
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 | 50,121 | 59,556 | 82,675 | 88,263 | 84,966 | 34,735 | 55,595 | 52,286 | 62,100 | 90,458 | 61,749 | 68,379 | 78,380 | 140,368 | 66,483 | 84,387 | 44,555 | 113,312 | 114,388 | 140,406 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 917,901 | — | — |
| Total current liabilities | US$ in thousands | 538,364 | 570,729 | 512,500 | 507,883 | 430,339 | 381,140 | 362,657 | 350,304 | 294,650 | 322,547 | 286,083 | 281,817 | 256,576 | 360,938 | 362,379 | 655,466 | 588,706 | 603,823 | 577,552 | 513,127 |
| Cash ratio | 0.09 | 0.10 | 0.16 | 0.17 | 0.20 | 0.09 | 0.15 | 0.15 | 0.21 | 0.28 | 0.22 | 0.24 | 0.31 | 0.39 | 0.18 | 0.13 | 0.08 | 1.71 | 0.20 | 0.27 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($50,121K
+ $—K)
÷ $538,364K
= 0.09
The cash ratio of California Water Service Group, which measures the company's ability to cover its short-term liabilities with its cash and cash equivalents, has exhibited fluctuations over the period analyzed. Starting from March 31, 2020, the cash ratio was 0.27, indicating that the company had $0.27 in cash and cash equivalents for every dollar of current liabilities.
The ratio decreased substantially to 0.08 by December 31, 2020, suggesting a potential liquidity concern as the company had only $0.08 in cash and cash equivalents for each dollar of current liabilities. However, the ratio improved to 1.71 by September 30, 2020, reflecting a significant increase in liquidity and indicating that the company had more than enough cash to cover its short-term obligations.
Subsequent quarters showed varying levels of the cash ratio, with values ranging from 0.09 to 0.39. These fluctuations suggest that the company's liquidity position fluctuated during this period but generally remained above 0.1, indicating a relatively stable ability to meet its short-term obligations with available cash.
Overall, the analysis of California Water Service Group's cash ratio demonstrates the company's fluctuating liquidity position throughout the period, with some quarters indicating stronger liquidity positions than others. A sustained focus on maintaining adequate levels of cash and cash equivalents relative to short-term liabilities would be essential to ensuring the company's financial health and ability to meet its obligations as they come due.
Peer comparison
Dec 31, 2024