Donaldson Company Inc (DCI)
Cash ratio
| Jul 31, 2025 | Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 180,400 | 178,500 | 189,100 | 221,200 | 232,700 | 223,700 | 193,800 | 217,800 | 187,100 | 186,000 | 179,400 | 161,000 | 193,300 | 168,700 | 170,400 | 200,800 | 222,800 | 215,300 | 207,300 | 270,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 1,100 | — |
| Total current liabilities | US$ in thousands | 757,200 | 760,100 | 765,800 | 800,600 | 782,500 | 735,200 | 893,500 | 882,600 | 756,400 | 712,000 | 580,100 | 569,300 | 629,600 | 606,500 | 638,500 | 581,900 | 606,600 | 548,800 | 499,500 | 419,400 |
| Cash ratio | 0.24 | 0.23 | 0.25 | 0.28 | 0.30 | 0.30 | 0.22 | 0.25 | 0.25 | 0.26 | 0.31 | 0.28 | 0.31 | 0.28 | 0.27 | 0.35 | 0.37 | 0.39 | 0.42 | 0.64 |
July 31, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($180,400K
+ $—K)
÷ $757,200K
= 0.24
The analysis of Donaldson Company Inc.'s cash ratio over the observed period indicates a generally declining trend from October 31, 2020, through October 31, 2025.
Initially, as of October 31, 2020, the cash ratio stood at 0.64, suggesting that the company held a substantial proportion of its current assets in cash and cash equivalents relative to current liabilities. This ratio experienced a gradual decline over subsequent periods, reflecting a tightening of the company's liquidity position with respect to cash and cash equivalents. By October 31, 2021, the ratio decreased to 0.35, and further diminished to 0.28 by October 31, 2022. A slight fluctuation was observed in early 2023, with the ratio reaching 0.31 in January 2023 but declining again to 0.25 by October 2023.
The downward trend persisted into 2024, where the ratio rose temporarily to 0.30 in April and July before reverting to 0.28 by October 2024. In 2025, the ratio remained relatively stable around the low twenties, with 0.25 in January, decreasing slightly to 0.23 in April, and slightly increasing to 0.24 in July.
Overall, the decreasing cash ratio suggests a reduction in the company's reliance on cash and cash equivalents as a proportion of current liabilities, potentially indicating increased utilization of liquid assets for operational needs, investments, or other uses. The fluctuation around the 0.25 mark in recent years implies a moderate level of liquidity, though notably lower than the initial measurement, which could point to a strategic shift in working capital management or changes in cash flow and liquidity policy.