Central Garden & Pet Company A (CENTA)
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 | 1,714,060 | 1,707,120 | 1,741,680 | 1,653,880 | 1,512,620 | 1,553,850 | 1,633,240 | 1,623,890 | 1,531,720 | 1,543,660 | 1,682,750 | 1,407,190 | 1,547,710 | 1,525,280 | 1,467,290 | 1,358,930 | 1,321,080 | 1,307,190 | 1,349,630 | 1,352,290 |
| Total current liabilities | US$ in thousands | 494,171 | 457,987 | 496,387 | 475,949 | 423,039 | 465,892 | 516,187 | 570,749 | 513,350 | 522,319 | 511,007 | 536,763 | 441,212 | 440,262 | 385,250 | 357,100 | 343,860 | 278,525 | 278,813 | 299,128 |
| Current ratio | 3.47 | 3.73 | 3.51 | 3.47 | 3.58 | 3.34 | 3.16 | 2.85 | 2.98 | 2.96 | 3.29 | 2.62 | 3.51 | 3.46 | 3.81 | 3.81 | 3.84 | 4.69 | 4.84 | 4.52 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,714,060K ÷ $494,171K
= 3.47
The current ratio of Central Garden & Pet Company A has shown fluctuations over the past few quarters. The current ratio measures a company's ability to cover its short-term liabilities with its short-term assets, with a higher ratio indicating stronger liquidity.
From Dec 31, 2019, to Dec 31, 2023, the current ratio ranged from a low of 2.62 to a high of 4.84. In general, the company's current ratio has been relatively strong, consistently above 2.85, indicating that Central Garden & Pet Company A has a comfortable cushion to meet its short-term obligations.
Looking at the most recent quarters, the current ratio has fluctuated between 3.47 and 3.73, showing a slight decline in liquidity from the peak ratios observed in 2020 and early 2021. However, the current ratio remains healthy and stable, reflective of the company's ability to efficiently manage its short-term obligations.
Overall, based on the current ratio analysis, Central Garden & Pet Company A appears to have a sound liquidity position, with the ability to cover its short-term liabilities comfortably with its short-term assets.
Peer comparison
Dec 31, 2023