Fortrea Holdings Inc. (FTRE)

Cash ratio

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024
Cash and cash equivalents US$ in thousands 118,500 105,300 126,200 92,800
Short-term investments US$ in thousands — — — —
Total current liabilities US$ in thousands 949,500 795,800 749,000 818,300
Cash ratio 0.12 0.13 0.17 0.11

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($118,500K + $—K) ÷ $949,500K
= 0.12

The cash ratio of Fortrea Holdings Inc. has shown some variability throughout the year 2024. In March, the cash ratio was 0.11, indicating that the company had $0.11 in cash and cash equivalents for every $1 of current liabilities. The ratio increased to 0.17 in June, suggesting an improvement in the company's liquidity position. However, in September and December, the cash ratios decreased to 0.13 and 0.12 respectively, indicating a slight decline in the company's ability to cover its short-term obligations with cash on hand. Overall, the cash ratio fluctuated during the year, and further analysis of the company's cash management practices and liquidity position may be necessary to understand the reasons behind these fluctuations.