Extreme Networks Inc (EXTR)

Cash ratio

		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	Dec 31, 2019	Sep 30, 2019
Cash and cash equivalents	US$ in thousands	156,699	151,007	221,403	224,434	234,826	202,996	202,521	198,344	194,522	166,566	173,548	191,349	246,894	203,139	183,969	193,116	193,872	196,350	140,414	131,369
Short-term investments	US$ in thousands	—	—	—	—	—	92	808	1,338	1,314	832	—	—	—	—	—	—	—	—	—	29,705
Total current liabilities	US$ in thousands	517,588	528,302	548,966	528,718	575,501	526,846	529,102	502,699	500,181	457,790	467,680	455,060	455,700	414,895	422,242	435,611	397,821	374,529	422,957	411,451
Cash ratio		0.30	0.29	0.40	0.42	0.41	0.39	0.38	0.40	0.39	0.37	0.37	0.42	0.54	0.49	0.44	0.44	0.49	0.52	0.33	0.39

June 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($156,699K + $—K) ÷ $517,588K
= 0.30

The cash ratio of Extreme Networks Inc has shown some fluctuations over the past several quarters. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents. It is calculated by dividing the total cash and cash equivalents by the total current liabilities.

From the data provided, we can see that the cash ratio has ranged from 0.29 to 0.54 over the past few quarters, with the most recent value being 0.30 as of June 30, 2024. This indicates that Extreme Networks Inc has $0.30 of cash and cash equivalents for every dollar of current liabilities as of that date.

Overall, the company's cash ratio has been relatively stable, with some fluctuations, suggesting that Extreme Networks Inc has been maintaining a healthy level of cash reserves compared to its short-term obligations. It is essential for the company to continue monitoring and managing its cash position effectively to ensure it can meet its financial obligations in a timely manner.