Medtronic PLC (MDT)

Cash ratio

		Apr 30, 2025	Apr 30, 2024	Apr 26, 2024	Apr 30, 2023	Apr 28, 2023
Cash and cash equivalents	US$ in thousands	2,218,000	1,284,000	1,284,000	1,543,000	1,543,000
Short-term investments	US$ in thousands	6,747,000	6,721,000	6,721,000	6,416,000	6,416,000
Total current liabilities	US$ in thousands	12,879,000	10,789,000	10,789,000	9,051,000	9,051,000
Cash ratio		0.70	0.74	0.74	0.88	0.88

April 30, 2025 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,218,000K + $6,747,000K) ÷ $12,879,000K
= 0.70

The cash ratio for Medtronic PLC has shown a gradual decrease over the years from 0.88 in April 2023 to 0.70 in April 2025. This indicates that the company's ability to cover its short-term liabilities with its available cash and cash equivalents has slightly weakened. While a cash ratio above 1.0 is generally considered healthy, the company's ratios fall below this threshold, suggesting a potential liquidity concern. It would be prudent for Medtronic PLC to closely monitor its liquidity position to ensure it can meet its short-term obligations effectively.