Light & Wonder Inc (LNW)

Cash ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Cash and cash equivalents	US$ in thousands	425,000	891,000	909,000	931,000	914,000	1,277,000	928,000	496,000	585,000	782,000	932,000	967,000	928,000	1,045,000	790,000	334,000	313,000	363,000	369,000	1,213,000
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	88,000	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	696,000	619,000	577,000	642,000	622,000	802,000	1,254,000	927,000	974,000	844,000	780,000	868,000	832,000	847,000	1,085,000	735,000	766,000	1,045,000	733,000	1,786,000
Cash ratio		0.61	1.44	1.58	1.45	1.47	1.59	0.74	0.54	0.60	0.93	1.19	1.11	1.22	1.23	0.73	0.45	0.41	0.35	0.50	0.68

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($425,000K + $—K) ÷ $696,000K
= 0.61

The cash ratio of Light & Wonder Inc has fluctuated over the past eight quarters. In Q4 2023, the cash ratio stood at 0.77, indicating that the company had 0.77 units of cash for every dollar of current liabilities. This was a significant decrease from the previous quarter's ratio of 1.63.

Looking back over the year, the company's cash ratio has shown variability, ranging from a low of 0.65 in Q1 2022 to a high of 1.80 in Q3 2022. Overall, the cash ratio has generally been above 1, suggesting that Light & Wonder Inc has historically had sufficient cash on hand to cover its short-term obligations.

The decreasing trend in the cash ratio from Q3 2023 to Q4 2023 may raise concerns about the company's liquidity position and ability to meet its short-term financial obligations. Further analysis of the company's cash flows and liquidity management practices would be recommended to fully assess the implications of the changing cash ratio.