Scholastic Corporation (SCHL)
Cash ratio
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 94,700 | 139,600 | 84,100 | 113,700 | 110,400 | 149,500 | 125,800 | 224,500 | 198,800 | 261,100 | 239,700 | 316,600 | 308,900 | 300,700 | 308,600 | 366,500 | 353,200 | 356,600 | 355,500 | 393,800 |
| Short-term investments | US$ in thousands | — | — | 900 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 616,700 | 655,800 | 628,400 | 534,700 | 608,500 | 636,700 | 598,700 | 340,000 | 636,900 | 724,700 | 668,300 | 619,700 | 659,200 | 671,700 | 661,600 | 695,500 | 730,000 | 606,600 | 563,500 | 501,500 |
| Cash ratio | 0.15 | 0.21 | 0.14 | 0.21 | 0.18 | 0.23 | 0.21 | 0.66 | 0.31 | 0.36 | 0.36 | 0.51 | 0.47 | 0.45 | 0.47 | 0.53 | 0.48 | 0.59 | 0.63 | 0.79 |
February 28, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($94,700K
+ $—K)
÷ $616,700K
= 0.15
The cash ratio of Scholastic Corporation has exhibited notable fluctuations over the period from May 2020 through February 2025. Early in the period, as of May 31, 2020, the company's cash ratio stood at 0.79, indicating a relatively strong liquidity position with a high proportion of liquid assets in relation to total current liabilities. This high level of liquidity persisted through August 2020 at 0.63 and remained fairly stable through November 2020 at 0.59, before exhibiting a declining trend moving into early 2021, with the ratio decreasing to 0.48 by February 28, 2021.
Throughout 2021 and into early 2022, the cash ratio generally declined, reaching a low of 0.36 by August 2022 and remaining steady at that level through November 2022. A further decline is observed by February 2023, with the ratio diminishing to 0.31, reflecting a reduction in cash holdings relative to current liabilities and suggesting a decrease in immediate liquidity.
Starting from May 2023, a significant shift occurs, with the cash ratio increasing markedly to 0.66, the highest recorded in the analyzed period. This uptick indicates an improved immediate liquidity position at that point. However, subsequent quarters show a decline, with ratios falling to 0.21 as of August 2023, and remaining relatively low in November 2023 (0.23), February 2024 (0.18), and further decreasing to 0.15 by February 2025. These results illustrate a trend of diminishing liquidity, with the company's cash holdings representing an increasingly smaller proportion of its current obligations.
Overall, the company's cash ratio has experienced periods of both stability and volatility, with a significant peak in mid-2023 followed by a downward trend. The fluctuations suggest varying liquidity strategies or operational changes, impacting the company's ability to meet short-term liabilities solely through cash and cash equivalents over time.
Peer comparison
Feb 28, 2025