XPO Logistics Inc (XPO)
Cash ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 246,000 | 412,000 | 460,000 | 228,000 | 1,731,000 |
| Short-term investments | US$ in thousands | — | — | — | 32,000 | 323,000 |
| Total current liabilities | US$ in thousands | 1,420,000 | 1,590,000 | 1,507,000 | 2,548,000 | 5,161,000 |
| Cash ratio | 0.17 | 0.26 | 0.31 | 0.10 | 0.40 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($246,000K
+ $—K)
÷ $1,420,000K
= 0.17
The cash ratio for XPO Logistics Inc has shown fluctuations over the past five years. As of December 31, 2020, the company had a cash ratio of 0.40, indicating that it had $0.40 in cash and cash equivalents for every $1 of current liabilities. Subsequently, the cash ratio declined to 0.10 by December 31, 2021, reflecting a significant decrease in the company's ability to cover its short-term obligations with cash.
However, there was a slight improvement in the cash ratio to 0.31 by December 31, 2022, suggesting that the company had increased its cash position relative to its current liabilities. By December 31, 2023, the cash ratio decreased to 0.26, indicating a slight weakening in the company's liquidity position compared to the previous year.
The most recent data as of December 31, 2024, shows a further decrease in the cash ratio to 0.17, indicating that XPO Logistics Inc may be facing challenges in maintaining adequate cash reserves to cover its short-term liabilities. Overall, the fluctuation in the cash ratio over the years implies varying levels of liquidity risk and highlights the importance of monitoring the company's ability to meet its short-term obligations with its available cash resources.
Peer comparison
Dec 31, 2024