Interface Inc (TILE)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 110,498 | 97,564 | 97,252 | 103,053 | 81,301 |
| Short-term investments | US$ in thousands | 0 | 0 | 0 | 0 | 0 |
| Total current liabilities | US$ in thousands | 214,721 | 220,470 | 261,812 | 193,300 | 263,275 |
| Cash ratio | 0.51 | 0.44 | 0.37 | 0.53 | 0.31 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($110,498K
+ $0K)
÷ $214,721K
= 0.51
The cash ratio of Interface Inc. has shown fluctuation over the past five years. The cash ratio measures a company's ability to cover its short-term liabilities with its most liquid asset, cash and cash equivalents.
Interface Inc.'s cash ratio has ranged from 0.44 in December 2019 to 0.66 in December 2023 and January 2021. A higher cash ratio indicates that the company has a larger proportion of cash to cover its current liabilities, which can be considered a positive sign of financial health and liquidity.
The company's cash ratio was relatively low in January 2022 at 0.52, which could indicate that it had less cash on hand to cover its short-term obligations at that point in time.
Overall, Interface Inc.'s cash ratio has shown some variability over the years, and investors and analysts may want to further investigate the reasons behind these fluctuations to assess the company's liquidity position accurately.
Peer comparison
Dec 31, 2023