Gates Industrial Corporation plc (GTES)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 579,700 | 522,200 | 720,600 | 556,800 | 565,000 | 594,900 | 578,400 | 395,300 | 393,200 | 406,800 | 658,200 | 540,600 | 473,300 | 447,400 | 521,400 | 672,300 | 639,700 | 626,300 | 635,300 | 456,100 |
| Short-term investments | US$ in thousands | 32,300 | 32,400 | 27,000 | 39,500 | 38,400 | 31,100 | 33,300 | 26,000 | 15,100 | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 763,400 | 747,900 | 779,300 | 780,400 | 798,200 | 738,200 | 752,300 | 746,700 | 771,500 | 788,500 | 855,900 | 842,400 | 840,800 | 756,600 | 726,300 | 653,900 | 629,300 | 667,700 | 658,100 | 583,200 |
| Cash ratio | 0.80 | 0.74 | 0.96 | 0.76 | 0.76 | 0.85 | 0.81 | 0.56 | 0.53 | 0.52 | 0.77 | 0.64 | 0.56 | 0.59 | 0.72 | 1.03 | 1.02 | 0.94 | 0.97 | 0.78 |
June 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($579,700K
+ $32,300K)
÷ $763,400K
= 0.80
The cash ratio of Gates Industrial Corporation plc has shown fluctuations over the past several quarters, indicating varying levels of liquidity. The cash ratio measures a company's ability to cover its current liabilities with its cash and cash equivalents.
From December 2019 to June 2020, the cash ratio remained relatively stable around 0.94 to 1.03, suggesting a strong ability to cover short-term obligations with available cash. However, from September 2020 to March 2021, there was a gradual decline in the cash ratio, reaching a low of 0.56 in March 2021.
Subsequently, there was a slight improvement in the cash ratio over the next few quarters, with fluctuations between 0.52 and 0.85. Notably, the cash ratio peaked at 0.96 in December 2023, indicating a significant increase in liquidity compared to the preceding quarters. However, it then decreased to 0.74 by March 2024.
Overall, the cash ratio of Gates Industrial Corporation plc has shown variability, reflecting changes in the company's cash position relative to its current liabilities. Further analysis of the company's cash management practices and liquidity trends may provide insights into the factors influencing these fluctuations.
Peer comparison
Jun 30, 2024