Taylor Morn Home (TMHC)

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	487,151	256,447	246,845	554,287	798,568	613,811	1,227,260	877,717	724,488	329,244	378,340	569,249	832,821	373,407	366,267	392,500	532,843	547,916	674,685	507,761
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	1,090	306,081	4,918	420	2,110	1,998	3,687	4,985	5,294	6,800	7,212	8,711
Total current liabilities	US$ in thousands	174,460	233,331	276,205	183,174	161,264	191,645	249,898	146,334	306,072	146,335	179,555	200,662	413,887	235,685	215,230	180,833	127,289	109,593	149,784	154,109
Cash ratio		2.79	1.10	0.89	3.03	4.95	3.20	4.91	6.00	2.37	4.34	2.13	2.84	2.02	1.59	1.72	2.20	4.23	5.06	4.55	3.35

December 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($487,151K + $—K) ÷ $174,460K
= 2.79

The cash ratio of Taylor Morn Home, calculated as the ratio of cash and cash equivalents to current liabilities, has fluctuated over the past few years based on the provided data.

Initially, the cash ratio increased from 3.35 in March 2020 to 5.06 in September 2020, indicating a strong ability to cover short-term debt obligations with cash reserves. However, there was a decline in the cash ratio to 1.59 in September 2021, which might raise concerns about the company's liquidity position.

Subsequently, the cash ratio showed some improvement, reaching 6.00 in March 2023, suggesting a better liquidity position to meet short-term liabilities. However, there was a decrease to 0.89 by June 2024, indicating a significant reduction in the ability to cover current liabilities with available cash.

Overall, the fluctuating trend in Taylor Morn Home's cash ratio highlights the importance of closely monitoring the company's cash position and liquidity management strategies to ensure the ability to meet its short-term obligations.