Consolidated Edison Inc (ED)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 6,537,000 | 12,972,000 | 5,551,000 | 5,301,000 | 4,272,000 |
| Total current liabilities | US$ in thousands | 6,462,000 | 11,336,000 | 5,427,000 | 7,354,000 | 6,287,000 |
| Current ratio | 1.01 | 1.14 | 1.02 | 0.72 | 0.68 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $6,537,000K ÷ $6,462,000K
= 1.01
Consolidated Edison, Inc.'s current ratio has shown fluctuations over the past five years. The current ratio measures the company's ability to meet its short-term obligations with its current assets. A ratio above 1 indicates that the company has more current assets than current liabilities.
In 2023, Consolidated Edison, Inc. reported a current ratio of 1.01, which suggests that the company has just enough current assets to cover its current liabilities. Comparing this to the previous year, where the ratio was 1.14, we see a slight decrease in liquidity. However, the current ratio remains relatively stable compared to 2021, when it was 1.02.
The significant improvement in the current ratio in 2020, from 0.72 to 1.14 in 2022, indicates that the company successfully increased its current assets relative to its current liabilities. Prior to 2020, the company had current ratios below 1, indicating potential liquidity challenges.
Overall, the trends in Consolidated Edison, Inc.'s current ratio show a mix of improvements and fluctuations in liquidity levels over the past five years. It is essential for the company to closely monitor and manage its current assets and liabilities to maintain a healthy financial position.
Peer comparison
Dec 31, 2023