China Kangda Food Co has a Cash Ratio of 0.31. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for China Kangda Food Co's Cash Ratio or its related term are showing as below:
HKSE:00834'
s Cash Ratio Range Over the Past 10 Years
Min: 0.21 Med: 0.28 Max: 0.51
Current: 0.31
During the past 13 years, China Kangda Food Co's highest Cash Ratio was 0.51. The lowest was 0.21. And the median was 0.28.
HKSE:00834's Cash Ratio is ranked worse than 54.87% of 1857
companies
in the Consumer Packaged Goods industry
Industry Median: 0.38
vs HKSE:00834: 0.31
China Kangda Food Co Cash Ratio Historical Data
The historical data trend for China Kangda Food Co's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of China Kangda Food Co's Cash Ratio
For the Packaged Foods subindustry, China Kangda Food Co's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
China Kangda Food Co's Cash Ratio Distribution in the Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, China Kangda Food Co's Cash Ratio distribution charts can be found below:
* The bar in red indicates where China Kangda Food Co's Cash Ratio falls into.
China Kangda Food Co Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
China Kangda Food Co's Cash Ratio for the fiscal year that ended in Dec. 2023 is calculated as:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
China Kangda Food Co (HKSE:00834) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
China Kangda Food Co Cash Ratio Related Terms
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China Kangda Food Co (HKSE:00834) Business Description
China Kangda Food Co Ltd is a diversified food manufacturing and processing group based in China. Its operating segments are the production and sale of processed food products, chilled and frozen rabbit meat, chilled and frozen chicken meat, and other products comprising chicken and rabbit meat by-products and pet food products. The key revenue is generated from the processed food products business. Geographically, the company operates in Japan, Europe, the People's Republic of China, and others. It generates a majority of its revenue from PRC.
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