Expand Energy Corporation (EXE)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 1,079,000 | 130,000 | 905,000 | 279,000 | 6,000 |
| Short-term investments | US$ in thousands | 637,000 | 34,000 | 5,000 | 19,000 | — |
| Total current liabilities | US$ in thousands | 1,314,000 | 2,704,000 | 2,447,000 | 3,094,000 | 2,392,000 |
| Cash ratio | 1.31 | 0.06 | 0.37 | 0.10 | 0.00 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($1,079,000K
+ $637,000K)
÷ $1,314,000K
= 1.31
The cash ratio of Expand Energy Corporation has shown a significant improvement over the years. The ratio increased from 0.00 in 2019 to 1.31 in 2023, indicating the company has substantially higher cash reserves compared to its current liabilities. This signifies a strong liquidity position for the company, as it can easily meet its short-term obligations using its available cash.
In 2022, the cash ratio was notably low at 0.06, suggesting a potential liquidity strain. However, this improved to 0.37 in 2021 and further to 0.10 in 2020, indicating a gradual strengthening of the company's ability to cover its short-term liabilities with cash on hand.
Overall, the trend in Expand Energy Corporation's cash ratio reflects a positive development in its liquidity management and financial health, with the company steadily increasing its cash reserves relative to its current obligations over the years.
Peer comparison
Dec 31, 2023