Amkor Technology Inc (AMKR)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	3,195,810	3,301,240	2,856,560	2,132,930	2,001,530
Total current liabilities	US$ in thousands	1,384,480	1,662,410	1,679,740	1,315,990	1,059,800
Current ratio		2.31	1.99	1.70	1.62	1.89

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $3,195,810K ÷ $1,384,480K
= 2.31

The current ratio of AMKOR Technology Inc. has shown a generally increasing trend over the past five years, indicating an improvement in the company's short-term liquidity position. As of December 31, 2023, the current ratio stands at 2.31, which means that the company had $2.31 in current assets for every $1 of current liabilities.

The current ratio has surpassed the benchmark of 1, suggesting that AMKOR Technology Inc. has a strong ability to meet its short-term obligations using its current assets. This trend indicates that the company's current assets, such as cash, inventory, and accounts receivable, have been increasing relative to its current liabilities, enhancing its liquidity position.

The steady improvement in the current ratio from 1.89 in 2019 to 2.31 in 2023 reflects the management's effective management of working capital and financial position. A higher current ratio provides assurance to creditors, investors, and other stakeholders about the company's ability to cover its short-term liabilities and indicates a lower risk of financial distress.

Overall, the increasing current ratio of AMKOR Technology Inc. signals a strengthened liquidity position and suggests that the company is in a favorable financial position to meet its short-term obligations.