DXP Enterprises Inc (DXPE)
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 | 173,120 | 27,176 | 15,533 | 58,282 | 46,026 | 16,972 | 20,574 | 36,559 | 48,989 | 63,043 | 79,169 | 127,361 | 119,328 | 97,287 | 78,678 | 32,730 | 54,203 | 28,436 | 25,429 | 30,606 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 224,165 | 221,858 | 207,965 | 224,755 | 212,901 | 245,861 | 237,692 | 177,980 | 181,062 | 188,621 | 187,424 | 156,281 | 147,139 | 155,872 | 149,219 | 144,552 | 139,325 | 151,978 | 158,321 | 158,632 |
| Cash ratio | 0.77 | 0.12 | 0.07 | 0.26 | 0.22 | 0.07 | 0.09 | 0.21 | 0.27 | 0.33 | 0.42 | 0.81 | 0.81 | 0.62 | 0.53 | 0.23 | 0.39 | 0.19 | 0.16 | 0.19 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($173,120K
+ $—K)
÷ $224,165K
= 0.77
The cash ratio for DXP Enterprises Inc has fluctuated over the periods provided. The cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio suggests a strong ability to meet its short-term obligations without relying on external sources.
From the data provided, the cash ratio ranged from as low as 0.07 to as high as 0.81. The ratio peaked at 0.81 in the fourth quarter of 2021 and again in the first quarter of 2021, indicating significant liquidity during those periods. However, it dropped to as low as 0.07 in the second quarter of 2022, suggesting a potential strain on liquidity at that time.
Overall, the company's cash ratio trend shows variability, with both strengths and weaknesses in managing its short-term liquidity position. Further analysis and comparison with industry benchmarks would provide additional insights into DXP Enterprises Inc's liquidity management practices.
Peer comparison
Dec 31, 2023