California Water Service Group (CWT)

Quick ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cash	US$ in thousands	50,121	39,591	62,100	78,380	44,555
Short-term investments	US$ in thousands	—	—	—	—	—
Receivables	US$ in thousands	—	—	—	—	—
Total current liabilities	US$ in thousands	538,364	430,339	294,650	256,576	588,706
Quick ratio		0.09	0.09	0.21	0.31	0.08

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($50,121K + $—K + $—K) ÷ $538,364K
= 0.09

The quick ratio of California Water Service Group has shown fluctuations over the past five years. As of December 31, 2020, the quick ratio was quite low at 0.08, indicating the company may have faced challenges in meeting its short-term liabilities using its most liquid assets. However, the ratio improved significantly by December 31, 2021, reaching 0.31, suggesting a better ability to cover short-term obligations with its quick assets.

Subsequently, by the end of 2022, the quick ratio declined to 0.21, signaling a potential reduction in the company's ability to quickly cover its current liabilities. This trend continued into December 31, 2023, with the ratio dropping further to 0.09, implying a possible strain on the company's short-term liquidity position.

As of December 31, 2024, the quick ratio remained unchanged at 0.09, indicating that California Water Service Group may still be facing challenges in meeting its short-term obligations with its readily available assets. Overall, the fluctuating nature of the quick ratio suggests varying levels of liquidity and efficiency in managing short-term liabilities over the five-year period.