Par Pacific Holdings Inc (PARR)

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	191,921	182,977	180,001	228,298	279,446	347,105	190,951	661,316	490,925	409,090	186,178	140,874	112,221	201,305	174,329	214,733	68,309	127,333	142,869	62,080
Short-term investments	US$ in thousands	—	—	456,596	558,214	—	—	—	—	—	—	—	—	—	—	—	209,010	209,010	—	—	—
Total current liabilities	US$ in thousands	1,096,270	1,045,650	1,211,050	1,447,760	1,524,600	1,939,590	1,769,950	1,572,360	1,794,090	1,721,680	2,109,940	1,828,620	1,355,790	1,295,240	1,369,690	1,190,670	878,680	875,703	806,570	727,875
Cash ratio		0.18	0.17	0.53	0.54	0.18	0.18	0.11	0.42	0.27	0.24	0.09	0.08	0.08	0.16	0.13	0.36	0.32	0.15	0.18	0.09

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($191,921K + $—K) ÷ $1,096,270K
= 0.18

The cash ratio of Par Pacific Holdings Inc has shown fluctuations over the past few years. As of December 31, 2024, the cash ratio stood at 0.18, indicating that the company had $0.18 in cash and cash equivalents for every $1 of current liabilities. This indicates a relatively stable liquidity position.

Looking at the trend, the cash ratio increased significantly from 0.09 in March 2020 to 0.54 in March 2024, showing a substantial improvement in the company's ability to cover its short-term obligations with cash on hand. However, there were fluctuations in between these periods, highlighting potential periods of financial stress or strategic allocation of cash resources.

It is important for stakeholders to monitor the cash ratio closely as it provides insights into the company's liquidity position and ability to meet its short-term financial obligations. A high cash ratio may suggest an overly conservative approach to cash management, while a low ratio could indicate potential liquidity issues.