Patrick Industries Inc (PATK)

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 33,561 52,606 43,960 17,610 11,409 16,450 33,911 30,783 22,847 53,269 77,025 63,846 122,849 44,882 58,402 6,171 44,767 62,347 111,062 94,523
Short-term investments US$ in thousands — — — — — — — — — — — — — — — — — — — —
Total current liabilities US$ in thousands 353,615 379,189 373,667 360,542 308,496 335,814 307,130 332,680 367,240 435,904 473,411 496,315 432,777 409,473 328,792 299,849 227,389 252,949 218,537 236,203
Cash ratio 0.09 0.14 0.12 0.05 0.04 0.05 0.11 0.09 0.06 0.12 0.16 0.13 0.28 0.11 0.18 0.02 0.20 0.25 0.51 0.40

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($33,561K + $—K) ÷ $353,615K
= 0.09

The cash ratio of Patrick Industries Inc, a measure of the company's ability to cover its short-term liabilities with its cash and cash equivalents, has fluctuated over the periods provided. The cash ratio ranged from 0.02 to 0.51 during the years 2020 to 2024.

The trend indicates some volatility in the company's ability to cover its current liabilities solely with cash and cash equivalents. Generally, a higher cash ratio is preferred as it signifies a stronger liquidity position.

Patrick Industries Inc experienced a notable dip in its cash ratio in March 2021, which could indicate a strain on its ability to meet short-term obligations with available cash. However, the company managed to improve the cash ratio in subsequent periods, reaching a peak of 0.51 in June 2020.

It is essential for stakeholders to closely monitor Patrick Industries Inc's cash ratio to ensure the company maintains a healthy liquidity position and can meet its financial obligations as they come due.