The Marzetti Company (MZTI)
Cash ratio
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 161,476 | 124,561 | 203,073 | 135,058 | 163,443 | 164,756 | 133,848 | 73,746 | 88,473 | 82,861 | 95,487 | 64,219 | 60,283 | 67,085 | 114,011 | 130,089 | 188,055 | 211,121 | 216,381 | 186,088 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 186,294 | 186,384 | 167,250 | 173,177 | 183,969 | 189,786 | 163,376 | 167,208 | 168,752 | 196,451 | 180,171 | 190,915 | 165,585 | 179,477 | 172,832 | 179,787 | 173,923 | 151,983 | 140,628 | 139,819 |
| Cash ratio | 0.87 | 0.67 | 1.21 | 0.78 | 0.89 | 0.87 | 0.82 | 0.44 | 0.52 | 0.42 | 0.53 | 0.34 | 0.36 | 0.37 | 0.66 | 0.72 | 1.08 | 1.39 | 1.54 | 1.33 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($161,476K
+ $—K)
÷ $186,294K
= 0.87
The cash ratio of The Marzetti Company has exhibited notable fluctuations over the period from September 2020 to June 2025. Initially, the ratio was relatively high at 1.33 as of September 30, 2020, indicating a substantial proportion of cash and cash equivalents relative to current liabilities. This strength continued into the end of 2020, reaching a peak of 1.54 on December 31, 2020.
During the subsequent quarters of 2021, the ratio experienced a declining trend, decreasing to 1.39 in March 2021, then more markedly dropping to 1.08 in June 2021, and further diminishing to 0.72 in September 2021 and 0.66 in December 2021. This decline suggests a gradual reduction in the company's short-term liquidity position, with cash holdings decreasing relative to current liabilities.
The downward trend persisted into 2022, with the ratio sliding to 0.37 in March and remaining near that level (0.36 and 0.34) through June and September 2022. The ratio somewhat recovered, rising modestly to 0.53 at the end of 2022 and maintaining an intermediate level (0.42 and 0.52) through March and June 2023. By September 2023, the ratio stood at 0.44, indicating a cautious liquidity stance.
A significant increase was observed at the close of 2023, with the ratio reaching 0.82 on December 31, 2023, and subsequently continuing upward through March and June 2024 to 0.87 and 0.89, respectively. This upward movement suggests an enhancement in the company's liquidity position, with cash holdings increasing relative to current liabilities.
The ratio peaked at 1.21 as of December 31, 2024, reflecting a robust liquidity buffer at that time. Thereafter, a decline was observed, with the ratio falling to 0.67 in March 2025 before rising again to 0.87 in June 2025, indicating some variability but generally maintaining a relatively healthy liquidity stance.
Overall, the company's cash ratio has demonstrated significant fluctuations, with periods of both liquidity surplus and tightening. While the early period showed strong liquidity levels, a decline occurred through 2021 and 2022, followed by a recovery starting late 2023 into mid-2025. This pattern suggests reactive adjustments to liquidity management, possibly in response to internal financing needs, market conditions, or strategic shifts. The current ratio nearing 1 indicates a reasonable liquidity cushion at the latest measurement point.
Peer comparison
Jun 30, 2025