Vestis Corporation (VSTS)
Cash ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 31,010 | 36,051 | 23,736 | 41,106 | — |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 456,102 | 395,525 | 402,195 | 383,322 | — |
| Cash ratio | 0.07 | 0.09 | 0.06 | 0.11 | — |
September 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($31,010K
+ $—K)
÷ $456,102K
= 0.07
The cash ratio of Vestis Corporation has fluctuated over the past few years, as shown in the table. The ratio, which measures the company's ability to cover its short-term liabilities with its cash and cash equivalents, was 0.07 as of September 30, 2024. This indicates that for every dollar of current liabilities, Vestis Corporation had $0.07 of cash and cash equivalents on hand.
Comparing this ratio to previous years, we see that it was 0.09 in 2023, 0.06 in 2022, and 0.11 in 2021. The downward trend from 2021 to 2022 and the subsequent increase in 2023 followed by a slight decrease in 2024 could indicate fluctuations in the company's liquidity position.
It is important to note that the absence of data for 2020 makes it difficult to assess the trend over a longer period. However, monitoring this ratio closely can provide insights into Vestis Corporation's short-term financial health and its ability to meet its immediate obligations using its available cash resources.
Peer comparison
Sep 30, 2024