Sylvamo Corp (SLVM)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 205,000 | 220,000 | 360,000 | 180,000 | 95,000 |
| Short-term investments | US$ in thousands | — | — | 360,000 | 180,000 | — |
| Total current liabilities | US$ in thousands | 682,000 | 695,000 | 728,000 | 758,000 | 490,000 |
| Cash ratio | 0.30 | 0.32 | 0.99 | 0.47 | 0.19 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($205,000K
+ $—K)
÷ $682,000K
= 0.30
The cash ratio of Sylvamo Corp has shown fluctuations over the years based on the data provided. Starting at 0.19 on December 31, 2020, the ratio increased significantly to 0.47 on December 31, 2021, indicating an improvement in the company's ability to cover its short-term liabilities with cash and cash equivalents. By December 31, 2022, the cash ratio further improved to 0.99, reflecting a very strong position in terms of liquidity.
However, there was a decline in the cash ratio to 0.32 on December 31, 2023, suggesting a potential decrease in the company's ability to meet its short-term obligations with available cash. This decline continued in the following year, with the ratio falling to 0.30 by December 31, 2024.
Overall, the cash ratio of Sylvamo Corp has exhibited variability, with periods of strong liquidity followed by declines. It is important for the company to closely monitor its liquidity position to ensure it can meet its financial commitments in a timely manner.
Peer comparison
Dec 31, 2024