Koppers Holdings Inc (KOP)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 66,500 | 33,300 | 45,500 | 38,500 | 32,300 |
| Short-term investments | US$ in thousands | — | — | — | — | 700 |
| Total current liabilities | US$ in thousands | 325,900 | 324,000 | 285,700 | 292,100 | 296,200 |
| Cash ratio | 0.20 | 0.10 | 0.16 | 0.13 | 0.11 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($66,500K
+ $—K)
÷ $325,900K
= 0.20
The cash ratio of Koppers Holdings Inc has shown fluctuations over the past five years. The ratio indicates the company's ability to cover its short-term liabilities with its available cash and cash equivalents.
In 2023, the cash ratio improved to 0.31 from 0.20 in 2022, suggesting that the company had a higher proportion of cash to meet its short-term obligations. This increase indicates a stronger liquidity position compared to the previous year.
In 2021, the cash ratio was relatively high at 0.46, indicating a significant improvement in liquidity compared to the preceding years. This suggests that the company had a higher level of cash reserves in proportion to its current liabilities, enhancing its ability to meet short-term obligations.
In 2020, the cash ratio was 0.32, which was slightly higher compared to 2019 when the ratio stood at 0.18. This indicates a better liquidity position in 2020, reflecting the company's ability to cover its short-term liabilities with its available cash.
Overall, the trend in Koppers Holdings Inc's cash ratio shows some variability, with an overall improvement in liquidity from 2019 to 2021, followed by a slight decline in 2022 and a recovery in 2023. Monitoring and managing this ratio is important to ensure the company can meet its short-term financial commitments effectively.
Peer comparison
Dec 31, 2023