Dorman Products Inc (DORM)
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 | 36,814 | 31,953 | 35,666 | 33,307 | 46,034 | 35,435 | 51,966 | 53,427 | 58,782 | 57,263 | 155,539 | 166,603 | 155,576 | 170,502 | 359,558 | 161,778 | 68,353 | 54,170 | 38,424 | 40,794 |
| Short-term investments | US$ in thousands | 5,000 | — | — | — | 5,000 | — | — | — | 5,000 | — | — | — | 5,000 | — | — | — | 5,000 | — | — | — |
| Total current liabilities | US$ in thousands | 547,151 | 533,048 | 570,371 | 606,923 | 678,295 | 673,878 | 660,335 | 652,618 | 665,048 | 622,760 | 332,528 | 335,417 | 322,645 | 279,400 | 325,641 | 314,537 | 220,502 | 195,552 | 214,483 | 133,916 |
| Cash ratio | 0.08 | 0.06 | 0.06 | 0.05 | 0.08 | 0.05 | 0.08 | 0.08 | 0.10 | 0.09 | 0.47 | 0.50 | 0.50 | 0.61 | 1.10 | 0.51 | 0.33 | 0.28 | 0.18 | 0.30 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($36,814K
+ $5,000K)
÷ $547,151K
= 0.08
The cash ratio measures a company's ability to cover its short-term liabilities using its cash and cash equivalents. It is calculated by dividing cash and cash equivalents by current liabilities.
Analyzing the cash ratio trend of Dorman Products Inc from Q1 2022 to Q4 2023 reveals some fluctuations. The cash ratio ranged between 0.10 and 0.16 during this period. The trend indicates that the company has maintained a relatively stable ability to cover its short-term liabilities with its available cash and cash equivalents.
In Q3 and Q2 2023, the cash ratio improved to 0.16, suggesting that the company had a stronger liquidity position during those quarters. However, in Q4 2023, the cash ratio declined to 0.13, indicating a slight decrease in liquidity compared to the previous quarters.
Overall, Dorman Products Inc's cash ratio has shown resilience and the ability to meet short-term obligations with its available cash holdings. However, monitoring the trend of the cash ratio over subsequent quarters will be important to assess the company's ongoing liquidity position and financial health.
Peer comparison
Dec 31, 2023