Grid Dynamics Holdings Inc (GDYN)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 334,655 | 257,227 | 256,729 | 144,364 | 112,745 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 55,544 | 42,223 | 38,710 | 25,344 | 13,318 |
| Cash ratio | 6.03 | 6.09 | 6.63 | 5.70 | 8.47 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($334,655K
+ $—K)
÷ $55,544K
= 6.03
The cash ratio of Grid Dynamics Holdings Inc has shown a slight decrease over the past years, declining from 8.47 on December 31, 2020, to 6.03 on December 31, 2024. This indicates that the company's ability to cover its short-term liabilities with its available cash and cash equivalents has decreased over the period. While the ratio remains above 1, suggesting that the company has enough liquid assets to cover its short-term obligations, the downward trend may raise concerns about liquidity management or capital allocation decisions. Further analysis of the company's cash management practices and financial strategy may be warranted to address this trend and ensure financial stability.
Peer comparison
Dec 31, 2024