Schneider National Inc (SNDR)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 102,400 | 385,700 | 244,800 | 395,500 | 551,600 |
| Short-term investments | US$ in thousands | 57,200 | 45,900 | 49,300 | 47,100 | 48,300 |
| Total current liabilities | US$ in thousands | 606,200 | 636,900 | 690,200 | 534,600 | 465,200 |
| Cash ratio | 0.26 | 0.68 | 0.43 | 0.83 | 1.29 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($102,400K
+ $57,200K)
÷ $606,200K
= 0.26
The cash ratio of Schneider National Inc has been fluctuating over the past five years. In 2023, the cash ratio stands at 0.26, showing a decrease from the previous year's ratio of 0.68. This indicates that the company has a lower level of cash and cash equivalents relative to its current liabilities in 2023. The drop in the cash ratio may suggest potential liquidity challenges for the company in meeting its short-term obligations.
Comparing to 2021 and 2020 where the cash ratios were 0.43 and 0.83 respectively, the decreasing trend in the cash ratio over the years may indicate a declining ability of Schneider National Inc to cover its current liabilities with its available cash and cash equivalents. Furthermore, when looking back at 2019 with a cash ratio of 1.29, there has been a significant downtrend in the company's liquidity position.
It is crucial for Schneider National Inc to carefully manage its cash flow and liquidity position to ensure it can meet its short-term financial obligations as they become due and maintain financial stability in the long run. A declining cash ratio may indicate a need for the company to improve its cash management practices and potentially seek additional sources of liquidity.
Peer comparison
Dec 31, 2023