Hilton Grand Vacations Inc (HGV)
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 | 328,000 | 297,000 | 328,000 | 355,000 | 589,000 | 227,000 | 252,000 | 389,000 | 223,000 | 425,000 | 374,000 | 514,000 | 432,000 | 334,000 | 318,000 | 400,000 | 428,000 | 625,000 | 733,000 | 669,000 |
| Short-term investments | US$ in thousands | — | — | 46,000 | 48,000 | 42,000 | 61,000 | 57,000 | 51,000 | 72,000 | 69,000 | 66,000 | 62,000 | 59,000 | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 252,000 | 1,270,000 | 1,383,000 | 1,357,000 | 1,151,000 | 1,356,000 | 1,481,000 | 1,567,000 | 1,197,000 | 118,000 | 142,000 | 159,000 | 112,000 | 170,000 | 824,000 | 710,000 | 16,000 | 644,000 | 621,000 | 662,000 |
| Cash ratio | 1.30 | 0.23 | 0.27 | 0.30 | 0.55 | 0.21 | 0.21 | 0.28 | 0.25 | 4.19 | 3.10 | 3.62 | 4.38 | 1.96 | 0.39 | 0.56 | 26.75 | 0.97 | 1.18 | 1.01 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($328,000K
+ $—K)
÷ $252,000K
= 1.30
The cash ratio for Hilton Grand Vacations Inc has shown fluctuations over the years, indicating changes in the company's liquidity position. The 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, 2020, there was a significant increase in the cash ratio from 1.01 to 26.75, which suggests a substantial buildup of cash reserves during that period. This could be due to various reasons such as improved cash management practices or a strategic decision to hold more cash.
However, the cash ratio decreased sharply from December 31, 2020, to June 30, 2021, reaching a low of 0.39. This indicates a relatively lower level of cash available to cover short-term obligations during that period.
Subsequently, there was an improvement in the cash ratio from September 30, 2021, to December 31, 2021, reaching 4.38, indicating a stronger liquidity position. The ratio remained relatively stable around 3.0 from March 31, 2022, to September 30, 2022, before declining to 0.25 by December 31, 2022.
Overall, the cash ratio for Hilton Grand Vacations Inc has fluctuated over the years, showing both strengths and weaknesses in the company's liquidity management. Investors and stakeholders should continue to monitor the cash ratio to assess the company's ability to meet its short-term obligations effectively.