Omnicom Group Inc (OMC)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 4,339,400 | 4,432,000 | 4,281,800 | 5,316,800 | 5,600,500 |
| Short-term investments | US$ in thousands | 900 | 0 | 60,700 | 0 | 0 |
| Total current liabilities | US$ in thousands | 16,300,300 | 16,246,000 | 15,052,800 | 16,226,200 | 15,525,100 |
| Cash ratio | 0.27 | 0.27 | 0.29 | 0.33 | 0.36 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,339,400K
+ $900K)
÷ $16,300,300K
= 0.27
The cash ratio of Omnicom Group Inc has shown a declining trend over the past five years. Starting at 0.36 on December 31, 2020, the ratio decreased to 0.27 by December 31, 2024. This indicates that the proportion of cash and cash equivalents to current liabilities has been decreasing over the years. While a declining cash ratio may suggest a potential liquidity challenge, it is important to consider other factors such as the company's overall financial health and operational efficiency to gain a more comprehensive understanding of its liquidity position.
Peer comparison
Dec 31, 2024