Eastman Chemical Company (EMN)

Cash ratio

		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	Jun 30, 2020	Mar 31, 2020
Cash and cash equivalents	US$ in thousands	837,000	622,000	514,000	499,000	548,000	439,000	410,000	599,000	493,000	461,000	456,000	487,000	459,000	717,000	609,000	540,000	564,000	650,000	704,000	680,000
Short-term investments	US$ in thousands	—	—	16,000	10,000	1,000	16,000	—	—	1,000	—	14,000	37,000	26,000	—	1,000	—	1,000	—	14,000	17,000
Total current liabilities	US$ in thousands	2,708,000	2,590,000	2,741,000	2,618,000	2,576,000	2,615,000	2,787,000	2,971,000	3,251,000	3,207,000	3,148,000	3,136,000	2,971,000	3,113,000	2,295,000	2,016,000	2,038,000	1,789,000	1,878,000	2,315,000
Cash ratio		0.31	0.24	0.19	0.19	0.21	0.17	0.15	0.20	0.15	0.14	0.15	0.17	0.16	0.23	0.27	0.27	0.28	0.36	0.38	0.30

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($837,000K + $—K) ÷ $2,708,000K
= 0.31

The cash ratio of Eastman Chemical Company has displayed fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio stood at 0.30 on March 31, 2020, and experienced some volatility, reaching its peak at 0.38 on June 30, 2020. Subsequently, the ratio decreased to 0.16 by December 31, 2021.

From there, the ratio showed some improvement, gradually increasing to 0.24 by September 30, 2024. Overall, the cash ratio has generally been above 0.15, indicating that Eastman Chemical Company has maintained a relatively healthy level of cash reserves compared to its current liabilities throughout the period under consideration. This suggests that the company has a sufficient amount of cash to cover its short-term obligations.