Enerpac Tool Group Corp (EPAC)
Cash ratio
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 154,415 | 120,699 | 140,352 | 152,170 | 211,151 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 148,120 | 153,188 | 134,764 | 105,522 | 300,401 |
| Cash ratio | 1.04 | 0.79 | 1.04 | 1.44 | 0.70 |
August 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($154,415K
+ $—K)
÷ $148,120K
= 1.04
The cash ratio for Enerpac Tool Group Corp has fluctuated over the past five years. As of August 31, 2023, the cash ratio stands at 1.24, indicating that the company has $1.24 in cash and cash equivalents for every $1 of current liabilities. This represents an improvement from the previous year, where the cash ratio was 0.99.
The upward trend in the cash ratio from 2020 to 2023 suggests an increase in the company's ability to cover its short-term obligations with cash resources. However, it is notable that the cash ratio was at its highest in 2020 at 1.78 before decreasing in the subsequent years.
Overall, the cash ratio analysis shows that Enerpac Tool Group Corp has maintained a relatively strong liquidity position, but careful monitoring of this trend is warranted to ensure the company's continued ability to meet its short-term financial obligations using its available cash resources.
Peer comparison
Aug 31, 2023