ServiceNow Inc (NOW)
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 | 2,304,000 | 1,885,000 | 2,159,000 | 2,056,000 | 1,897,000 | 1,112,000 | 1,663,000 | 1,852,000 | 1,470,000 | 1,248,000 | 1,664,000 | 2,252,000 | 1,728,000 | 1,400,000 | 1,362,000 | 1,821,000 | 1,677,000 | 1,348,000 | 837,000 | 809,000 |
| Short-term investments | US$ in thousands | 3,458,000 | 3,410,000 | 3,254,000 | 3,054,000 | 2,980,000 | 2,955,000 | 3,084,000 | 3,062,000 | 2,810,000 | 2,708,000 | 2,170,000 | 1,762,000 | 1,576,000 | 1,631,000 | 1,622,000 | 1,635,000 | 1,415,240 | 1,603,320 | 1,505,360 | 1,049,980 |
| Total current liabilities | US$ in thousands | 8,358,000 | 6,786,000 | 7,172,000 | 7,033,000 | 7,365,000 | 5,601,000 | 5,767,000 | 5,761,000 | 6,005,000 | 4,432,000 | 4,743,000 | 4,852,000 | 4,949,000 | 3,792,000 | 3,908,000 | 3,664,000 | 3,737,000 | 2,835,950 | 2,848,870 | 2,721,060 |
| Cash ratio | 0.69 | 0.78 | 0.75 | 0.73 | 0.66 | 0.73 | 0.82 | 0.85 | 0.71 | 0.89 | 0.81 | 0.83 | 0.67 | 0.80 | 0.76 | 0.94 | 0.83 | 1.04 | 0.82 | 0.68 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,304,000K
+ $3,458,000K)
÷ $8,358,000K
= 0.69
ServiceNow Inc's cash ratio has fluctuated over the past few years based on the data provided. The cash ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents. Higher cash ratios indicate a stronger ability to meet short-term obligations.
ServiceNow's cash ratio ranged from 0.67 to 1.04 during the period from March 31, 2020, to December 31, 2024. The company exhibited a peak cash ratio of 1.04 on September 30, 2020, indicating a strong ability to cover its short-term liabilities at that point in time. However, the cash ratio fluctuated over subsequent periods, reaching a low of 0.66 on December 31, 2023.
Overall, ServiceNow's cash ratio generally remained within a moderate range over the period analyzed, indicating the company's consistent ability to cover its short-term obligations with its available cash and cash equivalents. It is important for investors and stakeholders to monitor changes in the cash ratio to assess the company's liquidity and ability to navigate short-term financial challenges.
Peer comparison
Dec 31, 2024