New World Development Co has a Cash Ratio of 0.33. 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 New World Development Co's Cash Ratio or its related term are showing as below:
HKSE:00017'
s Cash Ratio Range Over the Past 10 Years
Min: 0.33 Med: 0.6 Max: 0.94
Current: 0.33
During the past 13 years, New World Development Co's highest Cash Ratio was 0.94. The lowest was 0.33. And the median was 0.60.
HKSE:00017's Cash Ratio is ranked better than 50.53% of 1777
companies
in the Real Estate industry
Industry Median: 0.33
vs HKSE:00017: 0.33
New World Development Co Cash Ratio Historical Data
* 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 New World Development Co's Cash Ratio
For the Real Estate - Diversified subindustry, New World Development 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.
New World Development Co's Cash Ratio Distribution in the Real Estate Industry
For the Real Estate industry and Real Estate sector, New World Development Co's Cash Ratio distribution charts can be found below:
* The bar in red indicates where New World Development Co's Cash Ratio falls into.
New World Development 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.
New World Development Co's Cash Ratio for the fiscal year that ended in Jun. 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.
New World Development Co (HKSE:00017) 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.
New World Development Co Cash Ratio Related Terms
Thank you for viewing the detailed overview of New World Development Co's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
New World Development Co (HKSE:00017) Business Description
New World Development, or NWD, is the listed property arm of Chow Tai Fook, owned by the Cheng family. Chow Tai Fook owns a 45% stake in NWD, which mainly engages in residential property development and investment properties of retail malls and offices in Hong Kong and mainland China. NWD also develops high-end hotels across Hong Kong, mainland China and in Southeast Asia. Additionally, NWD holds a 75% interest in New World Department Store China, which operates 24 department stores in mainland China.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HKSE:00017 has been successfully added to your 