Thor Industries Inc (THO)
Cash ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 501,316 | 441,232 | 311,553 | 445,852 | 538,519 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,567,020 | 1,716,480 | 1,755,920 | 1,794,780 | 1,515,280 |
| Cash ratio | 0.32 | 0.26 | 0.18 | 0.25 | 0.36 |
July 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($501,316K
+ $—K)
÷ $1,567,020K
= 0.32
The cash ratio of Thor Industries Inc has fluctuated over the past five years. The ratio indicates the company's ability to cover its short-term liabilities with cash and cash equivalents.
In the latest fiscal year, as of July 31, 2024, Thor Industries had a cash ratio of 0.32, which signifies that the company had $0.32 of cash and cash equivalents for every dollar of current liabilities. This indicates a slight improvement compared to the previous year.
Looking back, the trend has been somewhat volatile, with the cash ratio ranging from 0.18 to 0.36 over the past five years. The lowest ratio was observed in July 2022, indicating that Thor Industries had faced challenges in meeting its short-term obligations with its existing cash reserves.
Despite the fluctuations, it is worth noting that the company's cash ratio generally remained above 0.25 in the last three years, suggesting a relatively healthy liquidity position. However, management may want to monitor and potentially improve the ratio further to ensure the company can efficiently meet its short-term financial commitments.
Peer comparison
Jul 31, 2024