Omnicom Group Inc (OMC)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 4,432,000 | 2,769,600 | 2,734,100 | 3,261,500 | 4,281,800 | 3,198,500 | 3,205,100 | 3,925,500 | 5,316,800 | 4,431,200 | 4,388,100 | 4,897,300 | 5,600,500 | 3,278,300 | 3,281,000 | 2,692,500 | 4,305,700 | 2,440,400 | 2,898,100 | 3,449,700 |
| Short-term investments | US$ in thousands | 0 | 0 | 75,900 | 87,400 | 60,700 | 94,900 | 119,900 | 92,700 | 0 | 1,200 | 1,300 | 1,400 | 0 | 0 | 0 | 1,600 | 3,600 | 5,200 | 5,400 | 5,400 |
| Total current liabilities | US$ in thousands | 16,246,000 | 13,019,000 | 13,301,200 | 13,465,100 | 15,052,800 | 12,705,400 | 13,213,700 | 14,177,200 | 16,226,200 | 13,825,200 | 13,701,600 | 13,471,900 | 15,525,100 | 12,163,800 | 11,330,900 | 12,857,000 | 15,980,900 | 13,259,800 | 15,068,100 | 14,913,100 |
| Cash ratio | 0.27 | 0.21 | 0.21 | 0.25 | 0.29 | 0.26 | 0.25 | 0.28 | 0.33 | 0.32 | 0.32 | 0.36 | 0.36 | 0.27 | 0.29 | 0.21 | 0.27 | 0.18 | 0.19 | 0.23 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($4,432,000K
+ $0K)
÷ $16,246,000K
= 0.27
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. Omnicom Group, Inc.'s cash ratio has fluctuated over the past eight quarters, ranging from 0.28 to 0.35. A cash ratio of 0.33 in Q4 2023 indicates that Omnicom Group has $0.33 in cash and cash equivalents for every $1 of current liabilities.
The trend in Omnicom's cash ratio demonstrates relative stability over the quarters, with values remaining within a narrow range. This suggests that the company has maintained a consistent level of liquidity compared to its short-term obligations. However, the downward trend seen in recent quarters, from 0.35 in Q1 2022 to 0.33 in Q4 2023, indicates a slight decrease in liquidity. It is important to monitor this trend to ensure the company maintains an adequate level of cash to meet its short-term obligations.
Peer comparison
Dec 31, 2023