Sabre Corpo (SABR)

Cash ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Cash and cash equivalents	US$ in thousands	648,207	794,888	978,352	1,499,660	436,176
Short-term investments	US$ in thousands	51,970	54,303	—	24,265	—
Total current liabilities	US$ in thousands	914,713	815,571	716,505	621,943	1,025,540
Cash ratio		0.77	1.04	1.37	2.45	0.43

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($648,207K + $51,970K) ÷ $914,713K
= 0.77

The cash ratio of Sabre Corp has exhibited variability over the past five years. The ratio indicates the company's ability to cover its short-term liabilities with cash and cash equivalents. In 2023, the cash ratio has declined to 0.84 from 1.18 in 2022 and 1.49 in 2021, signaling a relatively lower level of available cash compared to its short-term obligations.

The significant drop in the cash ratio from 2020 to 2021, followed by fluctuations in the subsequent years, may suggest changes in the company's cash management strategies or operating performance. A declining cash ratio could indicate potential liquidity challenges or inefficiencies in managing cash resources. However, it is important to consider other financial metrics and factors in conjunction with the cash ratio to gain a comprehensive understanding of Sabre Corp's overall financial health and liquidity position.