Geo Group Inc (GEO)
Cash ratio
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 93,971 | 141,020 | 48,716 | 110,916 | 95,073 | 91,645 | 587,861 | 598,508 | 506,491 | 537,070 | 483,048 | 289,391 | 283,524 | 53,676 | 75,734 | 32,414 | 32,463 | 54,030 | 21,561 | 67,728 |
| Short-term investments | US$ in thousands | 135,968 | 130,729 | 136,497 | 129,832 | — | 89,760 | 81,392 | 84,886 | — | 60,732 | 45,465 | 39,924 | 26,740 | 40,970 | 32,703 | 27,271 | 32,418 | 33,728 | 27,358 | 2,328 |
| Total current liabilities | US$ in thousands | 437,464 | 433,326 | 347,208 | 396,098 | 437,212 | 427,425 | 389,205 | 408,371 | 378,842 | 420,605 | 385,732 | 423,056 | 411,296 | 421,877 | 400,921 | 385,319 | 395,928 | 408,605 | 409,652 | 708,785 |
| Cash ratio | 0.53 | 0.63 | 0.53 | 0.61 | 0.22 | 0.42 | 1.72 | 1.67 | 1.34 | 1.42 | 1.37 | 0.78 | 0.75 | 0.22 | 0.27 | 0.15 | 0.16 | 0.21 | 0.12 | 0.10 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($93,971K
+ $135,968K)
÷ $437,464K
= 0.53
The cash ratio of Geo Group, Inc. has fluctuated significantly over the past eight quarters, ranging from a low of 0.29 in Q2 2023 to a high of 1.60 in Q2 2022. The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents.
A cash ratio below 1 indicates that Geo Group, Inc. may not have enough cash on hand to cover its current liabilities. The company experienced this situation in most quarters, with Q2 2023 showing the lowest ratio at 0.29. As a result, the company may have faced challenges meeting its short-term financial obligations during this period.
On the other hand, a cash ratio above 1 suggests that the company has more than enough cash to cover its short-term liabilities. Geo Group, Inc. demonstrated this in Q2 2022 and Q1 2022, with notably high ratios of 1.60 and 1.55, respectively. During these quarters, the company had a comfortable cushion of cash to meet its short-term financial obligations, indicating strong liquidity.
Overall, Geo Group, Inc.'s cash ratio has exhibited variability, indicating fluctuations in its liquidity position over the analyzed quarters. It is crucial for the company to manage its cash effectively to ensure it can meet its short-term liabilities and maintain financial stability.
Peer comparison
Dec 31, 2023