Xerox Corp (XRX)
Cash ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 519,000 | 1,045,000 | 1,840,000 | 2,625,000 | 2,740,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 2,779,000 | 3,330,000 | 2,829,000 | 2,478,000 | 3,435,000 |
| Cash ratio | 0.19 | 0.31 | 0.65 | 1.06 | 0.80 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($519,000K
+ $—K)
÷ $2,779,000K
= 0.19
The cash ratio of Xerox Holdings Corp exhibited a declining trend over the past five years. The ratio decreased from 1.14 in 2020 to 0.24 in 2023. This indicates that the company's ability to cover its short-term liabilities with its available cash and cash equivalents has weakened. A lower cash ratio may suggest a higher reliance on non-cash assets or financing to meet short-term obligations. It is essential for investors and creditors to closely monitor this trend to assess the company's liquidity position and financial health.
Peer comparison
Dec 31, 2023