Tegna Inc (TGNA)

Cash ratio

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Cash and cash equivalents US$ in thousands 361,036 551,681 56,989 40,968 29,404
Short-term investments US$ in thousands — — — 20,300 32,400
Total current liabilities US$ in thousands 423,372 391,024 375,132 424,175 361,158
Cash ratio 0.85 1.41 0.15 0.14 0.17

December 31, 2023 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($361,036K + $—K) ÷ $423,372K
= 0.85

The cash ratio for TEGNA Inc has experienced fluctuations over the past five years. In 2023, the cash ratio stands at 0.98, indicating that the company has $0.98 in cash and cash equivalents for every $1 of current liabilities. This represents a decline from the previous year, where the ratio was higher at 1.62.

The significant increase in the cash ratio in 2022 suggests that TEGNA had a higher proportion of cash to cover its short-term obligations compared to 2023. However, the ratio had dropped considerably in 2021 to 0.35, indicating a lower level of liquidity relative to liabilities.

In 2020 and 2019, the cash ratios were 0.25 and 0.29, respectively, highlighting a gradual improvement in TEGNA's ability to meet its short-term obligations with cash on hand in those years.

Overall, the fluctuations in TEGNA's cash ratio indicate varying levels of liquidity over the years, which could be influenced by factors such as operational cash flow, debt management, and investment strategies.