Green Brick Partners Inc (GRBK)

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 179,756 223,453 209,595 177,271 76,588 48,203 66,765 66,083 77,166 21,561 33,517 28,688 19,479 40,269 43,162 105,860 33,269 35,123 34,383 23,873
Short-term investments US$ in thousands — 80,210 81,800 — 74,224 69,250 64,077 — 1,530 — — — — — — — — — — —
Total current liabilities US$ in thousands 195,150 212,730 2,214 2,453 17,395 42,902 34,662 19,421 738 122,717 130,605 3,809 106,687 93,489 143,875 242,758 164,642 164,792 232,657 206,522
Cash ratio 0.92 1.43 131.61 72.27 8.67 2.74 3.77 3.40 106.63 0.18 0.26 7.53 0.18 0.43 0.30 0.44 0.20 0.21 0.15 0.12

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($179,756K + $—K) ÷ $195,150K
= 0.92

The cash ratio of Green Brick Partners Inc has shown a fluctuating trend over the past eight quarters. The cash ratio represents the company's ability to cover its short-term liabilities with its cash and cash equivalents.

From Q1 2022 to Q4 2022, the cash ratio increased steadily from 0.27 to 0.38, indicating an improvement in the company's liquidity position. However, in Q1 2023, there was a slight decrease in the cash ratio to 0.84, which could suggest a temporary dip in the company's ability to cover its short-term obligations with cash on hand.

Subsequently, in Q2 and Q3 2023, the cash ratio remained relatively stable at 0.98 and 0.99, respectively, indicating that the company's liquidity position had strengthened. However, in Q4 2023, the cash ratio declined to 0.88, which may signal a slight weakening in the company's ability to meet short-term liabilities with its available cash resources.

Overall, Green Brick Partners Inc's cash ratio demonstrates some variability over the quarters, with periods of improvement followed by slight decreases. It is essential for the company to carefully manage its cash position to ensure it can meet its short-term obligations effectively.