Cinemark Holdings Inc (CNK)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 644,000 | 270,100 | 874,400 | 892,747 | 634,990 |
| Total current liabilities | US$ in thousands | 253,200 | 214,800 | 769,100 | 606,441 | 708,800 |
| Current ratio | 2.54 | 1.26 | 1.14 | 1.47 | 0.90 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $644,000K ÷ $253,200K
= 2.54
The current ratio of Cinemark Holdings Inc has fluctuated over the past five years, ranging from 0.90 in 2019 to 1.47 in 2020. The current ratio indicates the company's ability to meet its short-term obligations with its current assets. A current ratio above 1.0 suggests that the company has more than enough current assets to cover its current liabilities. In 2023, the current ratio improved to 1.45, indicating a healthier liquidity position compared to the previous year. However, it is important to note that a current ratio of 1.45 still leaves room for improvement, as a higher ratio would provide a more comfortable buffer for the company to meet its short-term obligations promptly. Overall, the trend in Cinemark Holdings Inc's current ratio shows some variability but suggests a relatively stable liquidity position over the years.