Twilio Inc (TWLO)
Cash ratio
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 969,229 | 467,094 | 421,297 | 583,969 | 755,065 | 672,595 | 655,931 | 677,917 | 675,081 | 634,824 | 651,752 | 632,794 | 798,625 | 1,617,020 | 1,479,450 | 1,497,500 | 1,799,600 | 2,331,770 | 933,885 | 1,127,100 |
| Short-term investments | US$ in thousands | 1,573,370 | 1,980,980 | 1,963,100 | 2,114,280 | 2,361,060 | 3,154,000 | 3,356,060 | 3,179,490 | 3,008,890 | 3,310,480 | 3,503,320 | 3,575,750 | 3,593,660 | 3,606,290 | 3,878,430 | 3,896,750 | 4,125,580 | 3,375,280 | 2,105,910 | 2,171,600 |
| Total current liabilities | US$ in thousands | 720,059 | 725,940 | 820,220 | 700,737 | 711,499 | 714,603 | 738,297 | 726,117 | 759,803 | 788,449 | 808,158 | 864,173 | 795,320 | 719,822 | 703,550 | 617,073 | 583,285 | 499,924 | 448,306 | 326,347 |
| Cash ratio | 3.53 | 3.37 | 2.91 | 3.85 | 4.38 | 5.35 | 5.43 | 5.31 | 4.85 | 5.00 | 5.14 | 4.87 | 5.52 | 7.26 | 7.62 | 8.74 | 10.16 | 11.42 | 6.78 | 10.11 |
June 30, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($969,229K
+ $1,573,370K)
÷ $720,059K
= 3.53
The cash ratio of Twilio Inc. demonstrates fluctuations over the analyzed period from September 2020 through June 2025. Initially, the ratio was notably high at 10.11 as of September 30, 2020, indicating a substantial portion of current liabilities was covered by cash and cash equivalents. During the subsequent period ending December 31, 2020, the ratio declined to 6.78, yet remained significantly above 1, reflecting strong liquidity.
Throughout 2021, the cash ratio experienced a gradual decline but maintained a robust level, with values of 11.42 on March 31, 2021, 10.16 on June 30, 2021, and 8.74 on September 30, 2021. By the end of 2021, the ratio stabilized at 7.62 as of December 31, 2021.
The trend of decreasing liquidity persisted into 2022 and early 2023, with ratios of 7.26 (March 31, 2022), 5.52 (June 30, 2022), and further down to 4.87 (September 30, 2022). Throughout 2023, the cash ratio remained relatively stable, fluctuating marginally around the 5.0 mark, with values such as 5.14 (December 31, 2022), 5.00 (March 31, 2023), 4.85 (June 30, 2023), and 5.31 (September 30, 2023).
In the most recent period observed, 2024, the ratio continued to decline, reaching 2.91 by December 31, 2024. This downward trend persisted into 2025, with the ratio slightly increasing to 3.37 (March 31, 2025) and 3.53 (June 30, 2025).
Overall, Twilio Inc.'s cash ratio indicates a significant reduction in liquidity over the analyzed timeframe. While the early periods exhibited an exceptionally high ratio suggesting ample cash reserves relative to current liabilities, recent figures indicate a decline to levels closer to traditional liquidity benchmarks. The declining trend may reflect strategic investment activities, operational cash utilization, or changes in cash management policies, potentially impacting the company’s short-term liquidity position.
Peer comparison
Jun 30, 2025