Skyline Corporation (SKY)
Cash ratio
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 495,063 | 747,453 | 435,413 | 262,581 | 209,455 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 389,601 | 248,917 | 350,112 | 263,642 | 186,647 |
| Cash ratio | 1.27 | 3.00 | 1.24 | 1.00 | 1.12 |
March 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($495,063K
+ $—K)
÷ $389,601K
= 1.27
The cash ratio of Skyline Corporation has shown fluctuations over the past five years. In March 2020, the cash ratio stood at 1.12, indicating that the company had $1.12 of cash and cash equivalents for every $1 of current liabilities. By March 2021, the cash ratio decreased to 1.00, suggesting a slight decrease in the company's ability to cover its short-term obligations with cash on hand.
However, there was a significant improvement in the cash ratio by March 2022, reaching 1.24. This indicates that Skyline Corporation enhanced its liquidity position compared to the previous year. In the following year, March 2023, the cash ratio spiked to 3.00, reflecting a substantial increase in the company's ability to meet its short-term liabilities with available cash reserves.
By March 2024, the cash ratio slightly decreased to 1.27, but it still remains at a healthy level, indicating that Skyline Corporation continues to maintain a strong liquidity position. Overall, the trend in the cash ratio demonstrates the company's ability to manage its short-term obligations effectively through the prudent management of cash and cash equivalents.
Peer comparison
Mar 31, 2024