SJW Group Common Stock (SJW)

Quick ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Cash	US$ in thousands	1,306	9,723	12,344	10,908	5,269
Short-term investments	US$ in thousands	—	-13,156	—	57,632	14,367
Receivables	US$ in thousands	—	—	—	—	—
Total current liabilities	US$ in thousands	27,658	342,974	264,650	203,271	350,795
Quick ratio		0.05	-0.01	0.05	0.34	0.06

December 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,306K + $—K + $—K) ÷ $27,658K
= 0.05

The quick ratio of SJW Group Common Stock has exhibited fluctuations over the past five years. As of December 31, 2020, the quick ratio was at a concerning low of 0.06, indicating a potential liquidity issue with current assets not being readily available to cover immediate liabilities. However, there was a significant improvement by December 31, 2021, with the quick ratio increasing to 0.34, suggesting a better ability to meet short-term obligations.

Subsequently, the quick ratio declined to 0.05 by December 31, 2022, raising some liquidity concerns once again. By December 31, 2023, the quick ratio fell further to -0.01, which is a troubling sign as it implies current liabilities exceeded the readily available current assets, potentially indicating cash flow challenges or inefficient working capital management.

The latest data available as of December 31, 2024, shows a slight improvement in the quick ratio to 0.05, still relatively low compared to ideal levels. This suggests that SJW Group Common Stock may still need to focus on strengthening its liquidity position to ensure it can meet its short-term obligations effectively.

In conclusion, the quick ratio trend for SJW Group Common Stock has been somewhat volatile, indicating fluctuations in the company's short-term liquidity position. Investors and stakeholders should monitor this ratio closely to assess the company's ability to manage its current liabilities with its available quick assets in the future.