L3Harris Technologies Inc (LHX)
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 | 615,000 | 539,000 | 547,000 | 477,000 | 560,000 | 499,000 | 366,000 | 545,000 | 880,000 | 529,000 | 420,000 | 402,000 | 941,000 | 1,126,000 | 2,029,000 | 976,000 | 1,276,000 | 1,341,000 | 1,947,000 | 663,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 7,633,000 | 7,973,000 | 8,981,000 | 8,437,000 | 8,004,000 | 8,482,000 | 6,309,000 | 6,151,000 | 5,776,000 | 5,853,000 | 4,884,000 | 4,737,000 | 4,551,000 | 4,313,000 | 4,464,000 | 4,231,000 | 4,240,000 | 4,666,000 | 4,587,000 | 5,123,000 |
| Cash ratio | 0.08 | 0.07 | 0.06 | 0.06 | 0.07 | 0.06 | 0.06 | 0.09 | 0.15 | 0.09 | 0.09 | 0.08 | 0.21 | 0.26 | 0.45 | 0.23 | 0.30 | 0.29 | 0.42 | 0.13 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($615,000K
+ $—K)
÷ $7,633,000K
= 0.08
The cash ratio of L3Harris Technologies Inc has fluctuated over the past few years, ranging from 0.06 to 0.45. This ratio measures the company's ability to cover its short-term debt obligations with its cash and cash equivalents. A higher cash ratio indicates a stronger liquidity position, as more cash is available to meet immediate financial commitments.
In the given data, the highest cash ratio of 0.45 was recorded on June 30, 2021, suggesting a robust cash position at that time. However, this was followed by a decline in the cash ratio to 0.06 by March 31, 2024. The downward trend from 2021 to 2024 indicates a potential decrease in available cash relative to short-term liabilities.
It is essential for investors and stakeholders to monitor the cash ratio closely, as a declining ratio may signal liquidity challenges or potential difficulties in meeting short-term obligations. Management should focus on maintaining a healthy balance between cash reserves and operational needs to ensure the company's financial health and stability.
Peer comparison
Dec 31, 2024