Hasbro Inc (HAS)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 544,800 | 498,600 | 983,400 | 1,449,700 | 4,580,370 |
| Short-term investments | US$ in thousands | — | — | — | — | 25,518 |
| Total current liabilities | US$ in thousands | 2,056,400 | 2,189,700 | 2,455,900 | 2,403,300 | 1,257,080 |
| Cash ratio | 0.26 | 0.23 | 0.40 | 0.60 | 3.66 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($544,800K
+ $—K)
÷ $2,056,400K
= 0.26
The cash ratio for Hasbro, Inc. has been on a declining trend over the past five years, decreasing from 3.89 in 2019 to 0.47 in 2023. The ratio measures the company's ability to cover its short-term obligations using only its cash and cash equivalents.
A cash ratio of 0.47 in 2023 indicates that Hasbro has $0.47 in cash and cash equivalents for every $1 of current liabilities, suggesting a lower liquidity position compared to previous years. This decline may raise concerns about the company's ability to meet its short-term financial obligations promptly.
Overall, the decreasing trend in Hasbro's cash ratio highlights the importance of monitoring the company's liquidity position and cash management strategies to ensure its financial health and stability in the future.