Graphic Packaging Holding Company (GPK)

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 2,845,000 2,858,000 2,901,000 2,812,000 2,706,000 2,642,000 2,684,000 2,657,000 2,502,000 1,969,000 1,877,000 1,911,000 2,020,000 2,018,400 2,050,000 1,938,300 1,805,600 1,771,000 1,860,800 1,836,900
Total current liabilities US$ in thousands 2,589,000 2,438,000 2,137,000 1,735,000 1,933,000 2,032,000 2,008,000 1,946,000 2,049,000 1,499,000 1,457,000 1,318,000 1,856,000 1,719,700 1,612,800 1,044,000 1,198,700 1,091,800 1,094,000 1,022,200
Current ratio 1.10 1.17 1.36 1.62 1.40 1.30 1.34 1.37 1.22 1.31 1.29 1.45 1.09 1.17 1.27 1.86 1.51 1.62 1.70 1.80

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,845,000K ÷ $2,589,000K
= 1.10

The current ratio of Graphic Packaging Holding Co has fluctuated over the past eight quarters, ranging from 1.10 to 1.62.

In Q1 2023, the current ratio was at its highest point of 1.62, indicating that the company had $1.62 in current assets for every $1 in current liabilities, reflecting a strong liquidity position. This suggests that Graphic Packaging Holding Co may have had ample resources to cover its short-term obligations.

However, in subsequent quarters, the current ratio decreased. By Q4 2023, the current ratio dropped to 1.10, signaling a decline in liquidity compared to earlier periods. A current ratio of 1.10 implies that the company had $1.10 in current assets for every $1 in current liabilities, which may indicate a tighter liquidity position and potentially raising concerns about the company's ability to meet its short-term obligations.

Overall, the fluctuation in Graphic Packaging Holding Co's current ratio over the analyzed period indicates changes in its liquidity and ability to cover short-term debts. It is essential for investors and stakeholders to monitor this ratio closely to assess the company's financial health and risk management practices.


Peer comparison

Dec 31, 2023

Company name
Symbol
Current ratio
Graphic Packaging Holding Company
GPK
1.10
Packaging Corp of America
PKG
2.57
Smurfit WestRock plc
SW
2.25
Sonoco Products Company
SON
1.76