SpartanNash Co (SPTN)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 17,964 | 29,086 | 10,666 | 19,903 | 24,172 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 659,896 | 704,970 | 655,838 | 689,554 | 565,134 |
| Cash ratio | 0.03 | 0.04 | 0.02 | 0.03 | 0.04 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($17,964K
+ $—K)
÷ $659,896K
= 0.03
The cash ratio of SpartanNash Co has fluctuated over the past five years. The cash ratio provides insight into the company's ability to cover its short-term liabilities with its readily available cash and cash equivalents.
In 2023, the cash ratio decreased to 0.03, indicating that SpartanNash Co had less cash available to cover its current liabilities compared to the previous year. This may suggest a potential liquidity challenge or a change in the company's cash management practices.
In 2022, the cash ratio improved to 0.04, signaling that SpartanNash Co had a slightly stronger ability to pay off its short-term obligations with its cash reserves compared to the prior year. This could be a positive sign of improved liquidity management.
In 2021, the cash ratio was at 0.02, the lowest level in the five-year period under review. This suggests a potential liquidity strain as the company had less available cash to meet its short-term obligations.
In both 2020 and 2019, the cash ratio was at 0.03 and 0.04, respectively, indicating a similar level of cash liquidity in those years.
Overall, while the cash ratio has fluctuated year over year, it is important for SpartanNash Co to closely monitor its cash position to ensure it maintains sufficient liquidity to meet its short-term financial obligations.
Peer comparison
Dec 31, 2023