WD-40 Company (WDFC)
Cash ratio
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 46,699 | 48,143 | 37,843 | 85,961 | 56,462 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 103,500 | 88,842 | 110,820 | 85,936 | 60,116 |
| Cash ratio | 0.45 | 0.54 | 0.34 | 1.00 | 0.94 |
August 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($46,699K
+ $—K)
÷ $103,500K
= 0.45
The cash ratio for WD-40 Company has fluctuated over the past five years. In 2024, the cash ratio is 0.45, indicating that the company has $0.45 in cash and cash equivalents for every $1 of current liabilities. This represents a decrease compared to the previous year, where the ratio was 0.54.
The cash ratio was relatively low in 2022 at 0.34, suggesting that the company had less liquidity to cover its short-term obligations. However, in 2021, the company had a strong cash ratio of 1.00, indicating that it had sufficient cash on hand to cover its current liabilities entirely.
In 2020, the cash ratio was 0.94, showing a favorable liquidity position compared to 2024. Overall, WD-40 Company's cash ratio has varied over the years, reflecting fluctuations in its cash and cash equivalent balances relative to its current liabilities. Investors and analysts may monitor this ratio to assess the company's short-term liquidity and ability to meet its financial obligations.
Peer comparison
Aug 31, 2024