Genpact Limited (G)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 648,246 | 583,670 | 646,765 | 899,458 | 680,440 |
| Short-term investments | US$ in thousands | 23,359 | 0 | — | — | — |
| Total current liabilities | US$ in thousands | 963,739 | 1,317,930 | 1,103,320 | 1,308,800 | 1,202,640 |
| Cash ratio | 0.70 | 0.44 | 0.59 | 0.69 | 0.57 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($648,246K
+ $23,359K)
÷ $963,739K
= 0.70
The cash ratio of Genpact Limited has fluctuated over the years as follows:
- As of December 31, 2020, the cash ratio was 0.57, indicating that Genpact had $0.57 in cash and cash equivalents for every $1 of current liabilities.
- By December 31, 2021, the cash ratio had improved to 0.69, suggesting a stronger liquidity position compared to the previous year.
- However, by December 31, 2022, the cash ratio decreased to 0.59, indicating a slight decline in the liquidity position.
- This downward trend continued into December 31, 2023, with the cash ratio falling to 0.44, raising potential concerns about the company's ability to cover its short-term obligations with available cash.
- The cash ratio rebounded in the following year, December 31, 2024, to 0.70, showing an improvement in liquidity.
Overall, the cash ratio of Genpact Limited has shown fluctuations over the years, with periods of improvement and decline. It is essential for investors and stakeholders to monitor these changes to assess the company's ability to meet short-term obligations using its cash reserves.
Peer comparison
Dec 31, 2024