NorthWestern Corporation (NWE)
Cash ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | ||
|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 4,283 | 2,527 | 6,398 |
| Short-term investments | US$ in thousands | — | 25,365 | — |
| Total current liabilities | US$ in thousands | 802,200 | 813,266 | 699,810 |
| Cash ratio | 0.01 | 0.03 | 0.01 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,283K
+ $—K)
÷ $802,200K
= 0.01
The cash ratio of NorthWestern Corporation has shown some fluctuation over the past three quarters. As of June 30, 2024, the company's cash ratio was very low at 0.01, indicating that it had minimal cash reserves relative to its current liabilities. However, by September 30, 2024, the cash ratio had improved to 0.03, suggesting a slightly better ability to cover its short-term obligations with its available cash. Unfortunately, by December 31, 2024, the cash ratio dropped back down to 0.01, returning to the low levels seen earlier in the year. Overall, NorthWestern Corporation may need to carefully monitor and manage its cash position to ensure it maintains an adequate liquidity cushion to meet its financial obligations.
Peer comparison
Dec 31, 2024