International Flavors & Fragrances Inc (IFF)
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 | 703,000 | 629,000 | 638,000 | 590,000 | 483,000 | 538,000 | 569,000 | 657,000 | 711,000 | 672,000 | 935,000 | 872,000 | 650,000 | 470,000 | 498,000 | 433,000 | 607,000 | 494,897 | 426,717 | 483,504 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 246 | — | — | — | — |
| Total current liabilities | US$ in thousands | 3,758,000 | 3,683,000 | 3,932,000 | 4,874,000 | 3,728,000 | 3,626,000 | 4,720,000 | 4,032,000 | 3,633,000 | 3,579,000 | 3,227,000 | 3,261,000 | 1,904,000 | 1,616,260 | 1,344,170 | 1,427,000 | 1,552,190 | 1,412,450 | 1,149,530 | 1,144,130 |
| Cash ratio | 0.19 | 0.17 | 0.16 | 0.12 | 0.13 | 0.15 | 0.12 | 0.16 | 0.20 | 0.19 | 0.29 | 0.27 | 0.34 | 0.29 | 0.37 | 0.30 | 0.39 | 0.35 | 0.37 | 0.42 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($703,000K
+ $—K)
÷ $3,758,000K
= 0.19
The cash ratio of International Flavors & Fragrances Inc. has fluctuated over the past eight quarters, ranging from 0.20 to 0.37. The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents.
In Q4 2023 and Q3 2023, the company had a cash ratio of 0.37, indicating that it had $0.37 of cash for every $1 of current liabilities. This suggests a strong liquidity position to meet immediate obligations.
The cash ratio dropped to 0.29 in Q2 2023 and further to 0.21 in Q1 2023. This decline could signal a potential strain on the company's ability to cover short-term liabilities with cash alone during these quarters.
Comparing the most recent values to the same periods in the previous year, there was a notable improvement from Q4 2022 (0.20) to Q4 2023 (0.37), indicating enhanced liquidity. However, the ratios in Q2 2023 and Q1 2023 were slightly lower compared to the same periods in 2022.
Overall, the cash ratio trend for International Flavors & Fragrances Inc. suggests some variability in its liquidity position over the past eight quarters, with a recent improvement in the last two quarters but some fluctuations observed in between. It is essential for the company to manage its cash effectively to ensure it can meet its short-term obligations as they arise.
Peer comparison
Dec 31, 2023