Louisiana-Pacific Corporation (LPX)
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 | 340,000 | 346,000 | 317,000 | 244,000 | 222,000 | 160,000 | 71,000 | 126,000 | 369,000 | 469,000 | 503,000 | 624,000 | 358,000 | 607,000 | 590,000 | 645,000 | 535,000 | 420,000 | 259,000 | 488,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | 18,000 | 10,000 | 9,000 | 11,000 | 12,000 | — | — |
| Total current liabilities | US$ in thousands | 299,000 | 303,000 | 261,000 | 254,000 | 259,000 | 266,000 | 267,000 | 229,000 | 336,000 | 430,000 | 464,000 | 459,000 | 351,000 | 427,000 | 353,000 | 360,000 | 286,000 | 244,000 | 219,000 | 214,000 |
| Cash ratio | 1.14 | 1.14 | 1.21 | 0.96 | 0.86 | 0.60 | 0.27 | 0.55 | 1.10 | 1.09 | 1.08 | 1.36 | 1.02 | 1.46 | 1.70 | 1.82 | 1.91 | 1.77 | 1.18 | 2.28 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($340,000K
+ $—K)
÷ $299,000K
= 1.14
Louisiana-Pacific Corporation's cash ratio has shown fluctuations over the given periods. The cash ratio, which measures a company's ability to cover its short-term liabilities with its cash and cash equivalents, has ranged from a high of 2.28 in March 2020 to a low of 0.27 in June 2023.
The company's cash ratio typically remained above 1, indicating that it had sufficient cash on hand to cover its short-term liabilities during these periods. However, there were instances where the ratio dipped closer to 1, such as in June 2023 and December 2023, which may suggest some tightness in liquidity during those specific quarters.
Overall, the trend in Louisiana-Pacific Corporation's cash ratio indicates that the company has generally maintained a strong liquidity position, with the ratio hovering around 1. This suggests that the company has been able to meet its short-term obligations using its available cash and cash equivalents, although there have been some periods of lower liquidity.
Peer comparison
Dec 31, 2024