Grocery Outlet Holding Corp (GO)
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 | 62,828 | 68,653 | 67,065 | 66,885 | 114,987 | 155,663 | 87,570 | 82,115 | 102,728 | 107,277 | 84,260 | 137,996 | 140,085 | 155,976 | 126,623 | 95,292 | 105,326 | 59,082 | 79,803 | 160,936 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 349,624 | 352,284 | 368,679 | 382,060 | 383,965 | 383,713 | 321,007 | 300,939 | 280,514 | 287,448 | 260,432 | 242,242 | 237,906 | 228,461 | 213,893 | 197,054 | 232,646 | 195,978 | 207,908 | 192,490 |
| Cash ratio | 0.18 | 0.19 | 0.18 | 0.18 | 0.30 | 0.41 | 0.27 | 0.27 | 0.37 | 0.37 | 0.32 | 0.57 | 0.59 | 0.68 | 0.59 | 0.48 | 0.45 | 0.30 | 0.38 | 0.84 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($62,828K
+ $—K)
÷ $349,624K
= 0.18
The cash ratio of Grocery Outlet Holding Corp has shown some fluctuations over the past few years. The cash ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.
From March 31, 2020, to December 31, 2022, the cash ratio ranged from 0.84 to 0.37, indicating that the company had a relatively strong ability to cover its short-term obligations with its available cash during this period.
However, from March 31, 2023, onwards, the cash ratio declined further to as low as 0.18 by December 31, 2024. This may suggest that the company's liquidity position weakened during this period, potentially due to increased spending, investment activities, or other factors affecting cash reserves.
Overall, the decreasing trend in the cash ratio from 2023 to 2024 could raise concerns about Grocery Outlet Holding Corp's liquidity position and its ability to meet short-term obligations solely with available cash. It may be advisable for the company to closely monitor and manage its cash flow to ensure it remains adequately liquid to support its operations and financial stability.
Peer comparison
Dec 31, 2024