Iridium Communications Inc (IRDM)
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 | 93,526 | 159,588 | 63,541 | 174,025 | 71,870 | 67,877 | 103,456 | 126,592 | 168,770 | 218,762 | 227,197 | 232,015 | 320,913 | 287,004 | 213,408 | 214,835 | 237,178 | 182,702 | 119,115 | 67,289 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 169,214 | 135,314 | 117,506 | 113,001 | 131,554 | 119,003 | 124,241 | 116,321 | 141,577 | 126,836 | 105,990 | 95,686 | 108,836 | 93,464 | 86,914 | 88,317 | 113,072 | 100,671 | 101,942 | 89,327 |
| Cash ratio | 0.55 | 1.18 | 0.54 | 1.54 | 0.55 | 0.57 | 0.83 | 1.09 | 1.19 | 1.72 | 2.14 | 2.42 | 2.95 | 3.07 | 2.46 | 2.43 | 2.10 | 1.81 | 1.17 | 0.75 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($93,526K
+ $—K)
÷ $169,214K
= 0.55
The cash ratio of Iridium Communications Inc, which measures the company's ability to cover its short-term liabilities with its cash and cash equivalents, has shown some fluctuations over the past few years.
As of December 31, 2024, the cash ratio stood at 0.55, indicating that the company had $0.55 in cash and cash equivalents for every dollar of its current liabilities. This ratio had decreased significantly from the previous quarter, where it was at 1.18 on September 30, 2024. The decline in the cash ratio could signify a potential strain on the company's liquidity position or a decrease in its available cash reserves relative to its short-term obligations.
It is essential for investors and creditors to closely monitor the cash ratio of Iridium Communications Inc to assess its ability to meet its short-term financial obligations. A decreasing trend in the cash ratio could raise concerns about the company's liquidity position and its ability to manage its short-term liabilities effectively. Further analysis of the company's cash flow and overall financial health would provide valuable insights into its liquidity management practices.
Peer comparison
Dec 31, 2024