Steel Dynamics Inc (STLD)

Cash ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Cash and cash equivalents	US$ in thousands	589,464	1,015,210	829,980	1,039,420	1,400,890	1,765,470	1,475,360	1,604,940	1,628,420	1,420,500	1,007,080	1,189,530	1,243,870	1,095,700	1,113,740	1,245,160	1,368,620	1,267,620	1,496,460	1,235,480
Short-term investments	US$ in thousands	147,811	645,343	418,367	653,255	721,210	500,844	611,701	714,769	628,215	583,211	351,005	351	—	—	—	—	0	0	69,546	219,193
Total current liabilities	US$ in thousands	2,150,580	2,692,300	2,655,950	2,298,660	2,332,300	1,918,380	1,759,040	1,820,550	2,032,300	2,131,400	2,201,870	2,090,650	2,227,370	2,054,290	1,852,240	1,661,190	1,258,790	1,175,630	1,115,430	1,031,720
Cash ratio		0.34	0.62	0.47	0.74	0.91	1.18	1.19	1.27	1.11	0.94	0.62	0.57	0.56	0.53	0.60	0.75	1.09	1.08	1.40	1.41

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($589,464K + $147,811K) ÷ $2,150,580K
= 0.34

The cash ratio of Steel Dynamics Inc has shown fluctuations over the period under review, ranging from a high of 1.41 in March 2020 to a low of 0.34 in December 2024. In general, a cash ratio above 1 indicates that the company has sufficient cash and cash equivalents to cover its current liabilities. The ratio gradually declined from March 2020 to December 2021, reaching a low point of 0.53 in September 2021. However, there was a slight increase in the cash ratio from September 2022 to December 2024. This trend suggests that the company may have improved its liquidity position during this period, although the ratio remained volatile. Overall, Steel Dynamics Inc should continue to monitor its cash position to ensure it can meet its short-term obligations effectively.