Baker Hughes Co (BKR)
Current ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 16,301,000 | 16,161,000 | 15,806,000 | 15,386,000 | 14,592,000 | 14,335,000 | 14,199,000 | 14,707,000 | 15,065,000 | 14,887,000 | 15,512,000 | 15,786,000 | 16,455,000 | 15,208,000 | 15,502,000 | 14,653,000 | 15,222,000 | 14,769,000 | 14,985,000 | 14,912,000 |
| Total current liabilities | US$ in thousands | 12,991,000 | 12,681,000 | 12,311,000 | 11,618,000 | 11,075,000 | 9,465,000 | 9,375,000 | 9,142,000 | 9,128,000 | 9,354,000 | 9,805,000 | 9,958,000 | 10,227,000 | 10,639,000 | 10,567,000 | 10,141,000 | 10,014,000 | 9,332,000 | 9,341,000 | 9,052,000 |
| Current ratio | 1.25 | 1.27 | 1.28 | 1.32 | 1.32 | 1.51 | 1.51 | 1.61 | 1.65 | 1.59 | 1.58 | 1.59 | 1.61 | 1.43 | 1.47 | 1.44 | 1.52 | 1.58 | 1.60 | 1.65 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $16,301,000K ÷ $12,991,000K
= 1.25
The current ratio of Baker Hughes Co has shown a declining trend in recent quarters, decreasing from 1.61 in Q1 2022 to 1.25 in Q4 2023. This indicates a potential deterioration in the company's short-term liquidity position and ability to cover its current liabilities with current assets. A current ratio below 1 would suggest that the company may have difficulties meeting its short-term obligations. However, it is important to note that a current ratio of above 1 generally indicates that the company has more current assets than current liabilities, although a higher ratio does not always necessarily mean better liquidity. The downward trend in the current ratio may warrant further investigation into the company's working capital management and liquidity position to assess any potential risks or areas of improvement.
Peer comparison
Dec 31, 2023