Kaiser Aluminum Corporation (KALU)
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 | 18,400 | 45,700 | 70,400 | 101,600 | 82,400 | 44,600 | 19,800 | 31,500 | 57,400 | 129,300 | 235,200 | 261,000 | 303,200 | 295,700 | 283,100 | 128,000 | 780,300 | 750,100 | 710,600 | 307,200 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 0 | 0 | 39,300 |
| Total current liabilities | US$ in thousands | 400,600 | 382,200 | 396,400 | 384,700 | 370,000 | 367,000 | 354,700 | 405,900 | 418,700 | 468,200 | 547,500 | 554,600 | 456,700 | 444,800 | 439,500 | 350,400 | 158,300 | 142,200 | 150,400 | 199,100 |
| Cash ratio | 0.05 | 0.12 | 0.18 | 0.26 | 0.22 | 0.12 | 0.06 | 0.08 | 0.14 | 0.28 | 0.43 | 0.47 | 0.66 | 0.66 | 0.64 | 0.37 | 4.93 | 5.27 | 4.72 | 1.74 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($18,400K
+ $—K)
÷ $400,600K
= 0.05
The cash ratio of Kaiser Aluminum Corporation has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The cash ratio represents the company's ability to cover its current liabilities with its cash and cash equivalents.
Initially, the cash ratio increased from 1.74 on March 31, 2020, to a peak of 5.27 on September 30, 2020, indicating a strong ability to meet short-term obligations. However, there was a decline in the ratio in the subsequent quarters, with a sharp decrease to 0.37 on March 31, 2021, possibly signaling a decrease in cash reserves relative to current liabilities.
Throughout 2021 and into 2022, the cash ratio remained relatively low, hovering mostly around or below 0.70. This could suggest potential liquidity challenges for the company during this period. Notably, the cash ratio increased slightly to 0.47 on March 31, 2022, but dropped again in subsequent quarters.
From September 30, 2022, to December 31, 2024, the cash ratio continued to fluctuate, reaching a low of 0.05 on December 31, 2024. This downward trend may raise concerns regarding the company's ability to cover its short-term obligations with its available cash and cash equivalents.
In conclusion, the analysis of Kaiser Aluminum Corporation's cash ratio indicates varying levels of liquidity over the period, with fluctuations that may require further investigation into the company's cash management practices and overall financial health.
Peer comparison
Dec 31, 2024