The historical data trend for Terna Energy'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 Terna Energy's Cash Ratio
For the Utilities - Renewable subindustry, Terna Energy'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.
Terna Energy's Cash Ratio Distribution in the Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Terna Energy's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Terna Energy's Cash Ratio falls into.
Terna Energy Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Terna Energy's Cash Ratio for the fiscal year that ended in Dec. 2022 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.
Terna Energy (OTCPK:TREAY) 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.
Terna Energy Cash Ratio Related Terms
Thank you for viewing the detailed overview of Terna Energy's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Terna Energy SA is a Greece based company mainly engaged in the energy and construction sector. It operates through the following segments: The Construction segment refers to the development of wind farms and other units for electricity production from renewable energy sources; The Electricity from Renewable Sources of Energy segment mainly concerns the production of electricity through wind energy; The Concessions Segment concerns the construction and operation of infrastructure and public sector projects in exchange for the long-term operation of the above projects through the provision of services to the public. The majority is from the Electricity from Renewable Sources of Energy segment. Geographically, the key revenue is from Greece.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
TREAY has been successfully added to your 