National Fuel Gas Company (NFG)

Cash ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Cash and cash equivalents	US$ in thousands	38,222	55,447	46,048	31,528	20,541
Short-term investments	US$ in thousands	-87,905	42,242	46,048	31,528	—
Total current liabilities	US$ in thousands	1,095,890	806,312	1,942,570	1,236,130	459,573
Cash ratio		-0.05	0.12	0.05	0.05	0.04

September 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($38,222K + $-87,905K) ÷ $1,095,890K
= -0.05

The cash ratio of National Fuel Gas Company has shown some fluctuations over the past five years. In 2024, the cash ratio was -0.05, indicating that the company's cash and cash equivalents were insufficient to cover its current liabilities. This negative ratio could suggest potential liquidity issues.

In contrast, the cash ratio was relatively healthier in 2023 at 0.12, which means the company had more cash and cash equivalents on hand to meet its short-term obligations. However, the cash ratio dropped to 0.05 in 2022 and remained at the same level in 2021, signaling a potential decrease in liquidity compared to the previous year.

The cash ratio improved slightly to 0.04 in 2020, indicating that the company had a slightly lower level of liquidity compared to 2021 and 2022. Overall, fluctuations in the cash ratio may reflect changes in the company's ability to cover its short-term liabilities with its available cash resources over the years.