Linde plc Ordinary Shares (LIN)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 4,850,000 | 4,664,000 | 5,436,000 | 2,823,000 | 3,754,000 |
| Short-term investments | US$ in thousands | — | — | — | — | 2,061,000 |
| Total current liabilities | US$ in thousands | 14,544,000 | 15,717,000 | 16,479,000 | 13,643,000 | 13,740,000 |
| Cash ratio | 0.33 | 0.30 | 0.33 | 0.21 | 0.42 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,850,000K
+ $—K)
÷ $14,544,000K
= 0.33
The cash ratio of Linde plc Ordinary Shares has fluctuated over the years, ranging from 0.21 to 0.42. The cash ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents.
In December 31, 2020, the cash ratio was at its highest at 0.42, indicating that the company had sufficient cash to cover 42% of its current liabilities. However, by December 31, 2021, the cash ratio decreased to 0.21, indicating a significant decline in the company's liquidity position.
Over the following years, the cash ratio improved slightly, reaching 0.33 on December 31, 2022, December 31, 2023, and December 31, 2024. This suggests that the company's liquidity position strengthened over time, but it still remains below the initial level observed in 2020.
Overall, although the cash ratio of Linde plc Ordinary Shares has shown some variability, the gradual improvement from 2021 onwards indicates the company's efforts to enhance its liquidity position and manage its short-term obligations more effectively.
Peer comparison
Dec 31, 2024