UGI Corporation (UGI)
Cash ratio
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 213,000 | 183,000 | 263,000 | 204,000 | 241,000 | 260,000 | 321,000 | 317,000 | 405,000 | 670,000 | 718,000 | 334,000 | 855,000 | 545,000 | 444,000 | 416,000 | 336,000 | 487,000 | 297,000 | 333,000 |
| Short-term investments | US$ in thousands | — | 28,000 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 300 | 300 | 400 |
| Total current liabilities | US$ in thousands | 2,060,000 | 1,886,000 | 1,823,000 | 2,341,000 | 2,274,000 | 2,083,000 | 2,273,000 | 3,380,000 | 2,444,000 | 2,068,000 | 2,499,000 | 2,581,000 | 2,297,000 | 1,701,000 | 1,892,000 | 2,097,000 | 1,755,000 | 1,679,000 | 2,116,000 | 2,391,000 |
| Cash ratio | 0.10 | 0.11 | 0.14 | 0.09 | 0.11 | 0.12 | 0.14 | 0.09 | 0.17 | 0.32 | 0.29 | 0.13 | 0.37 | 0.32 | 0.23 | 0.20 | 0.19 | 0.29 | 0.14 | 0.14 |
September 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($213,000K
+ $—K)
÷ $2,060,000K
= 0.10
The cash ratio measures a company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio indicates that a company has a greater level of liquidity and can more easily meet its short-term obligations.
Analyzing UGI Corporation's cash ratio over the past several quarters, we observe fluctuations in the ratio. The cash ratio stood at 0.10 as of September 30, 2024, indicating that for every dollar of current liabilities, UGI Corporation had $0.10 in cash and cash equivalents. This ratio increased from the previous quarter, indicating an improvement in liquidity.
Looking further back, the cash ratio has shown variability over time, with peaks and troughs in different quarters. The highest cash ratio of 0.37 was recorded on September 30, 2021, suggesting a strong liquidity position at that time. On the other hand, the ratio dipped to 0.09 on several occasions, including December 31, 2023, and December 31, 2022.
Overall, the trend in UGI Corporation's cash ratio indicates some level of volatility in its liquidity position. It is essential for the company to closely monitor its cash management practices to ensure it maintains an adequate level of liquidity to meet its short-term obligations effectively.
Peer comparison
Sep 30, 2024