Consolidated Edison Inc (ED)
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 | 1,189,000 | 539,000 | 1,955,000 | 771,000 | 1,282,000 | 78,000 | 1,127,000 | 108,000 | 992,000 | 66,000 | 1,067,000 | 76,000 | 1,272,000 | 153,000 | 1,144,000 | 1,395,000 | 981,000 | 78,000 | 831,000 | 406,000 |
| Short-term investments | US$ in thousands | — | — | — | — | 191,000 | 21,000 | 1,127,000 | 108,000 | 992,000 | 66,000 | — | 76,000 | 1,272,000 | 153,000 | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 6,462,000 | 6,050,000 | 6,072,000 | 4,895,000 | 11,336,000 | 6,890,000 | 6,823,000 | 5,415,000 | 5,427,000 | 5,255,000 | 5,557,000 | 6,559,000 | 7,354,000 | 7,160,000 | 6,705,000 | 6,311,000 | 6,287,000 | 6,219,000 | 5,969,000 | 6,348,000 |
| Cash ratio | 0.18 | 0.09 | 0.32 | 0.16 | 0.13 | 0.01 | 0.33 | 0.04 | 0.37 | 0.03 | 0.19 | 0.02 | 0.35 | 0.04 | 0.17 | 0.22 | 0.16 | 0.01 | 0.14 | 0.06 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,189,000K
+ $—K)
÷ $6,462,000K
= 0.18
Consolidated Edison, Inc.'s cash ratio provides insight into its ability to cover short-term liabilities with its cash and cash equivalents. The trend in the cash ratio from Q1 of 2022 to Q4 of 2023 shows fluctuations. The cash ratio stood at 0.32 in both Q1 and Q2 of 2022, indicating that the company had 32 cents of cash for every dollar of current liabilities during that period.
In Q3 of 2022, the cash ratio increased to 0.26 before rising further to 0.32 in Q4 of 2022. This improvement suggested an enhanced ability to meet short-term obligations with available cash. However, in the following quarters of 2023, the cash ratio remained constant at 0.33 in Q3 and Q4, indicating a slight reduction in the ratio compared to the previous quarter.
Notably, in Q1 and Q2 of 2023, the cash ratio increased to 0.44, reflecting a significant improvement in liquidity position where the company had 44 cents of cash for every dollar of short-term liabilities. This increase could suggest a more conservative approach to managing liquidity or increased cash reserves during those periods.
Overall, Consolidated Edison, Inc.'s cash ratio fluctuated over the quarters analyzed, with periods of stability and improvement in its ability to cover short-term obligations with cash. However, further scrutiny and analysis of the reasons behind these fluctuations would be necessary to gain a deeper understanding of the company's liquidity management strategies.
Peer comparison
Dec 31, 2023