Yum! Brands Inc (YUM)
Cash ratio
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 616,000 | 457,000 | 404,000 | 652,000 | 512,000 | 656,000 | 437,000 | 349,000 | 367,000 | 410,000 | 412,000 | 365,000 | 486,000 | 1,001,000 | 552,000 | 561,000 | 730,000 | 1,110,000 | 1,243,000 | 1,154,000 |
| Short-term investments | US$ in thousands | 91,000 | 91,000 | 116,000 | 28,000 | 0 | 31,000 | 33,000 | 24,000 | 26,000 | 19,000 | — | — | — | — | — | — | 14,000 | — | 198,000 | — |
| Total current liabilities | US$ in thousands | 1,269,000 | 1,186,000 | 1,136,000 | 1,188,000 | 1,277,000 | 1,504,000 | 1,487,000 | 1,555,000 | 1,665,000 | 1,244,000 | 1,183,000 | 1,302,000 | 1,415,000 | 1,355,000 | 1,558,000 | 1,479,000 | 1,675,000 | 1,553,000 | 1,475,000 | 1,500,000 |
| Cash ratio | 0.56 | 0.46 | 0.46 | 0.57 | 0.40 | 0.46 | 0.32 | 0.24 | 0.24 | 0.34 | 0.35 | 0.28 | 0.34 | 0.74 | 0.35 | 0.38 | 0.44 | 0.71 | 0.98 | 0.77 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($616,000K
+ $91,000K)
÷ $1,269,000K
= 0.56
The cash ratio of Yum! Brands Inc has fluctuated over the periods indicated, ranging from a low of 0.24 to a high of 0.98. The cash ratio measures a company's ability to cover its short-term liabilities using only its cash and cash equivalents. A higher cash ratio indicates a stronger ability to cover immediate financial obligations.
In the most recent period, December 31, 2024, the cash ratio stood at 0.56, showing an improvement compared to the previous period. It suggests that Yum! Brands Inc holds 56 cents of cash and cash equivalents for every dollar of its current liabilities at the end of 2024. This increase in the cash ratio could be indicative of improved liquidity and financial health.
On the other hand, the lowest cash ratio of 0.24 recorded on March 31, 2022, could signify a potential liquidity issue where the company might have difficulties meeting its short-term obligations solely from its cash reserves. Monitoring the cash ratio trend of Yum! Brands Inc can provide insights into the company's ability to manage its short-term financial obligations effectively.
Peer comparison
Dec 31, 2024