Compass Minerals International Inc (CMP)

Current ratio

		Sep 30, 2023	Sep 30, 2022	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018
Total current assets	US$ in thousands	593,800	562,000	756,300	780,000	721,200
Total current liabilities	US$ in thousands	275,800	233,100	296,700	295,900	283,300
Current ratio		2.15	2.41	2.55	2.64	2.55

September 30, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $593,800K ÷ $275,800K
= 2.15

The current ratio of Compass Minerals International Inc has exhibited a slight downward trend over the past five years, decreasing from 2.55 in 2018 to 2.15 in 2023. This indicates a reduction in the company's ability to meet its short-term obligations using its current assets. Although the current ratio remains above 1, suggesting the company's current assets still exceed its current liabilities, the decreasing trend warrants attention. It may be indicative of potential difficulties in covering short-term obligations or managing working capital efficiently. Further analysis of the company's liquidity position and management of current assets and liabilities is advisable to better understand the factors driving this trend.