ESCO Technologies Inc (ESE)
Cash ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 41,866 | 97,724 | 56,232 | 52,560 | 61,808 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 314,651 | 318,129 | 274,995 | 255,484 | 251,635 |
| Cash ratio | 0.13 | 0.31 | 0.20 | 0.21 | 0.25 |
September 30, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($41,866K
+ $—K)
÷ $314,651K
= 0.13
The cash ratio of Esco Technologies, Inc. has exhibited some fluctuations over the past five years. The ratio declined from 0.76 in 2019 to 0.62 in 2021, indicating a liquidity decrease during that period. However, it slightly improved to 0.65 in 2020 before experiencing a further increase to 0.77 in 2022. Nonetheless, in 2023, the cash ratio decreased to 0.63.
Overall, the declining trend in the cash ratio from 2019 to 2021 suggests potential liquidity challenges, although the subsequent improvements in 2022 and 2023 indicate an effort to enhance the company's liquidity position. It is important for stakeholders to continue monitoring this ratio to assess the company's ability to meet its short-term obligations effectively.
Peer comparison
Sep 30, 2023