Estee Lauder Companies Inc (EL)
Cash ratio
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 2,921,000 | 2,631,000 | 2,586,000 | 2,350,000 | 3,395,000 | 3,701,000 | 3,939,000 | 3,090,000 | 4,029,000 | 5,531,000 | 3,725,000 | 2,938,000 | 3,957,000 | 3,836,000 | 4,603,000 | 3,995,000 | 4,958,000 | 6,399,000 | 5,545,000 | 4,267,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | 1,000 | 5,000 | — | 24,000 | 10,000 | 6,000 | 9,000 | 15,000 | 7,000 | 11,000 | 13,000 |
| Total current liabilities | US$ in thousands | 5,435,000 | 4,964,000 | 5,031,000 | 5,486,000 | 5,702,000 | 5,416,000 | 6,574,000 | 5,914,000 | 6,240,000 | 7,700,000 | 5,655,000 | 5,271,000 | 5,815,000 | 5,414,000 | 5,762,000 | 5,319,000 | 5,298,000 | 5,197,000 | 5,420,000 | 4,744,000 |
| Cash ratio | 0.54 | 0.53 | 0.51 | 0.43 | 0.60 | 0.68 | 0.60 | 0.52 | 0.65 | 0.72 | 0.66 | 0.56 | 0.68 | 0.71 | 0.80 | 0.75 | 0.94 | 1.23 | 1.03 | 0.90 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,921,000K
+ $—K)
÷ $5,435,000K
= 0.54
The cash ratio for Estee Lauder Companies Inc. has demonstrated fluctuations over the period from September 2020 to June 2025. Initially, the ratio increased from 0.90 in September 2020 to a peak of 1.23 in March 2021, indicating a period where the company held a substantial proportion of its current liabilities in cash and cash equivalents, thereby suggesting robust short-term liquidity.
Subsequently, the ratio experienced a decline, falling to 0.75 by September 2021 and further decreasing to 0.56 by September 2022. This downward trend reflects a reduction in the company's liquidity position, with cash holdings covering a smaller fraction of current liabilities over this period. Despite this decline, the ratio stabilized somewhat, maintaining values within the range of approximately 0.43 to 0.72 from late 2022 through mid-2024.
Throughout 2024, the cash ratio remained relatively steady, oscillating around 0.50 to 0.68, which indicates a consistent but moderate level of liquidity, with cash reserves covering roughly half to slightly more than half of current liabilities. As of the most recent data available in June 2025, the cash ratio stands at 0.54, suggesting a balanced liquidity position, though slightly below the levels observed during the initial period of heightened liquidity in early 2021.
Overall, the company's cash ratio trend reflects an initial emphasis on increased cash holdings, followed by a period of liquidity normalization, maintaining a ratio generally between 0.43 and 0.72 in recent years. This indicates that while the company manages to retain sufficient cash reserves relative to current liabilities, the liquidity buffer has diminished from its peak levels, aligning with typical corporate liquidity strategies and market conditions over the analyzed period.
Peer comparison
Jun 30, 2025