Mettler-Toledo International Inc (MTD)

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	69,807	69,675	83,574	89,085	95,966	122,136	109,449	116,949	98,564	183,672	142,252	106,700	94,254	153,686	127,277	323,585	207,785	120,534	124,439	126,480
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	14	23	15	—	—	—	—
Total current liabilities	US$ in thousands	1,181,080	1,070,420	1,008,000	1,004,250	1,147,730	1,164,940	1,118,580	1,087,410	1,146,540	1,001,560	938,369	841,809	840,327	764,081	702,829	679,838	754,512	719,255	707,251	707,964
Cash ratio		0.06	0.07	0.08	0.09	0.08	0.10	0.10	0.11	0.09	0.18	0.15	0.13	0.11	0.20	0.18	0.48	0.28	0.17	0.18	0.18

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($69,807K + $—K) ÷ $1,181,080K
= 0.06

The cash ratio of Mettler-Toledo International, Inc. has shown a declining trend over the past few quarters. The ratio decreased from 0.23 in Q1 2022 to 0.15 in Q4 2023. This indicates that the company has a lower ability to cover its short-term liabilities with its available cash and cash equivalents.

A cash ratio of 0.15 in Q4 2023 means that for every dollar of current liabilities, Mettler-Toledo International, Inc. had $0.15 in cash and cash equivalents. Although the ratio has fluctuated slightly over the quarters, the downward trend raises concerns about the company's liquidity position.

It is important for the company to monitor and manage its cash reserves effectively to ensure it can meet its short-term obligations without causing financial strain. Further analysis and comparison with industry benchmarks could provide additional insight into the company's liquidity position and financial health.