How much, per € of sales,
is the firm generating in cash, after considering
operating, investing and financing activities
?
What is the ability
of the firm to build up some cash reserves,
for future strategic or financial moves ?
Example :
Click
here to see the source of data
Starworld
Group |
2021 |
2022 |
2023 |
| Cash |
60 |
85 |
112 |
| - Bank payable |
-126 |
-179 |
- 383 |
| = NCP |
-66 |
-94 |
-271 |
| Sales |
|
3341 |
4343 |
| Total liquidity ratio |
|
- 0.028 |
- 0.062 |
Sources :
Interpreting
and using financial statements, 1999,
Marc Bertonèche, Ph. D. in Finance
from the Northwestern University, Professor
at the Bordeaux University and at Sciences-PO
Paris, Visiting Professor at Harvard Business
School and Oxford University.
Corporate
Finance Course, Bernard Jaquier, Professor
in Economics & Finance, Ecole Hôtelière
de Lausanne, 2024
