Darling Ingredients Inc (DAR)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 126,502 | 118,977 | 111,541 | 132,572 | 127,016 | 126,032 | 146,730 | 99,460 | 68,906 | 67,188 | 77,741 | 71,199 | 81,617 | 65,845 | 76,185 | 76,339 | 72,935 | 69,122 | 87,011 | 95,716 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | 1,037,440 | 915,085 | 805 | 5,739,060 | 5,602,450 | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 998,137 | 1,033,700 | 1,013,550 | 1,099,020 | 1,068,440 | 1,027,980 | 919,827 | 813,414 | 752,684 | 756,197 | 692,212 | 637,707 | 675,305 | 623,554 | 606,296 | 651,746 | 688,339 | 595,893 | 566,306 | 546,172 |
| Cash ratio | 0.13 | 0.12 | 0.11 | 0.12 | 0.12 | 0.12 | 0.16 | 0.12 | 0.09 | 0.09 | 1.61 | 1.55 | 0.12 | 9.31 | 9.37 | 0.12 | 0.11 | 0.12 | 0.15 | 0.18 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($126,502K
+ $—K)
÷ $998,137K
= 0.13
The cash ratio of Darling Ingredients Inc has fluctuated over the past five years, ranging from as low as 0.09 to as high as 9.37. The ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.
In recent quarters, the cash ratio has been relatively stable around 0.11 to 0.13. This indicates that the company has a moderate ability to meet its short-term obligations using its readily available cash.
However, there are significant outliers in the historical data, such as the notably high ratios of 1.55 and 1.61 in the second and third quarters of 2021, respectively, as well as the extremely high ratios of 9.31 and 9.37 in the third and fourth quarters of 2020. These spikes may suggest anomalies or unusual circumstances affecting the company's cash position during those periods.
Overall, the cash ratio of Darling Ingredients Inc appears to have stabilized at a reasonable level in recent quarters, providing some assurance of the company's liquidity position.
Peer comparison
Dec 31, 2023