Dynatrace Holdings LLC (DT)

Cash ratio

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cash and cash equivalents	US$ in thousands	778,983	555,348	462,967	324,962	213,170
Short-term investments	US$ in thousands	57,891	0	—	—	—
Total current liabilities	US$ in thousands	1,258,550	1,037,040	865,599	647,911	490,183
Cash ratio		0.66	0.54	0.53	0.50	0.43

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($778,983K + $57,891K) ÷ $1,258,550K
= 0.66

The cash ratio of Dynatrace Holdings LLC has shown a consistent improvement over the years, indicating the company's ability to cover its short-term liabilities with its available cash and cash equivalents. The ratio has increased from 0.43 in 2020 to 0.66 in 2024. This suggests that the company has been effectively managing its cash position and liquidity, which could enhance its financial stability and ability to meet its obligations in the short term. The trend indicates a positive cash management strategy, providing a buffer against unexpected financial challenges and potential emergencies. Overall, the increasing cash ratio reflects the company's improved financial health and prudent cash management practices.