CTS Corporation (CTS)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	319,349	325,760	289,089	233,231	237,478
Total current liabilities	US$ in thousands	97,039	112,532	114,066	104,932	96,948
Current ratio		3.29	2.89	2.53	2.22	2.45

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $319,349K ÷ $97,039K
= 3.29

The current ratio of CTS Corp. has shown a generally increasing trend over the past five years, indicating an improvement in the company's short-term liquidity position.

In 2019, the current ratio was 2.45, which means the company had $2.45 in current assets for every $1 in current liabilities. This ratio increased to 2.53 in 2021, further improved to 2.89 in 2022, and continued its upward trajectory to reach 3.29 in 2023.

A current ratio above 1 suggests that the company has more current assets than current liabilities, which is a positive sign for creditors and investors as it indicates the company's ability to cover its short-term obligations. The increasing trend in the current ratio over the years suggests that CTS Corp. has been effectively managing its short-term liquidity and is in a stronger position to meet its financial obligations.