Grid Dynamics Holdings Inc (GDYN)

Cash ratio

Dec 31, 2024 Sep 30, 2024 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
Cash and cash equivalents US$ in thousands 334,655 231,261 256,042 249,437 257,227 253,713 246,176 258,368 256,729 255,188 150,018 153,308 144,364 199,297 67,974 99,852 112,745 126,526 123,085 121,479
Short-term investments US$ in thousands — — — — — — — — — — — — — — — — — — — 224,016
Total current liabilities US$ in thousands 55,544 54,234 46,267 43,120 42,223 52,470 53,470 50,358 38,710 31,637 38,568 32,691 25,344 24,219 25,159 17,957 13,318 7,796 7,567 9,772
Cash ratio 6.03 4.26 5.53 5.78 6.09 4.84 4.60 5.13 6.63 8.07 3.89 4.69 5.70 8.23 2.70 5.56 8.47 16.23 16.27 35.36

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 experienced a downward trend over the analyzed period. As of March 31, 2020, the cash ratio stood at 35.36, indicating a strong ability to cover short-term liabilities with cash and cash equivalents.

However, the ratio declined significantly by June 30, 2021, dropping to 2.70, suggesting a decreased capacity to meet immediate obligations solely from cash holdings. Subsequently, there were fluctuations in the ratio, with periodic improvements and declines.

As of December 31, 2024, the cash ratio was at 6.03, showing some recovery from the low point in June 2021 but still remaining below the levels observed at the beginning of the analyzed period. Overall, the decreasing trend in the cash ratio indicates a potential liquidity challenge for Grid Dynamics Holdings Inc, necessitating careful management of cash and working capital in the future.