Occidental Petroleum Corporation (OXY)

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	2,132,000	1,759,000	1,845,000	1,272,000	1,426,000	611,000	486,000	1,165,000	984,000	1,233,000	1,362,000	1,909,000	2,764,000	2,059,000	4,569,000	2,270,000	2,008,000	1,896,000	1,011,000	2,021,000
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	3,249,000	3,170,000	3,250,000	—	—	1,000
Total current liabilities	US$ in thousands	9,521,000	9,541,000	9,699,000	8,812,000	9,148,000	8,941,000	7,456,000	7,440,000	7,757,000	7,935,000	9,730,000	8,700,000	8,324,000	9,126,000	9,586,000	8,631,000	8,223,000	10,500,000	9,919,000	11,963,000
Cash ratio		0.22	0.18	0.19	0.14	0.16	0.07	0.07	0.16	0.13	0.16	0.14	0.22	0.33	0.23	0.82	0.63	0.64	0.18	0.10	0.17

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($2,132,000K + $—K) ÷ $9,521,000K
= 0.22

The cash ratio of Occidental Petroleum Corporation has shown fluctuating trends over the reported periods. Starting at 0.17 in March 2020, the ratio decreased to 0.10 by June 2020, indicating a decline in the amount of cash and cash equivalents relative to current liabilities. However, there was a notable improvement by December 2020, with the ratio reaching 0.64, suggesting an increase in the company's ability to cover its short-term liabilities with cash on hand.

Subsequently, the cash ratio remained relatively stable above 0.60 until June 2021, signifying a strong liquidity position. The ratio peaked at 0.82 in June 2021, indicating a significant cash reserve compared to current liabilities. However, there was a decline in the ratio in the following periods, hitting a low of 0.07 in both June and September 2023, potentially signaling a decrease in cash availability relative to obligations.

Overall, the cash ratio of Occidental Petroleum Corporation has exhibited variability, with periods of strong liquidity followed by decreases in cash coverage. It is crucial to monitor the company's cash management practices and ability to maintain sufficient liquidity to meet its short-term financial obligations.