Hess Corporation (HES)
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 | 3,430,000 | 3,916,000 | 3,704,000 | 3,799,000 | 3,931,000 | 4,123,000 | 3,969,000 | 3,266,000 | 4,346,000 | 3,892,000 | 3,969,000 | 3,522,000 | 3,081,000 | 3,136,000 | 3,115,000 | 4,270,000 | 3,156,000 | 3,398,000 | 3,684,000 | 3,834,000 |
| Total current liabilities | US$ in thousands | 3,270,000 | 2,996,000 | 2,403,000 | 2,308,000 | 2,396,000 | 2,312,000 | 2,355,000 | 2,303,000 | 3,064,000 | 2,749,000 | 2,527,000 | 1,690,000 | 1,623,000 | 1,426,000 | 1,564,000 | 1,947,000 | 2,510,000 | 2,344,000 | 2,332,000 | 2,271,000 |
| Current ratio | 1.05 | 1.31 | 1.54 | 1.65 | 1.64 | 1.78 | 1.69 | 1.42 | 1.42 | 1.42 | 1.57 | 2.08 | 1.90 | 2.20 | 1.99 | 2.19 | 1.26 | 1.45 | 1.58 | 1.69 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $3,430,000K ÷ $3,270,000K
= 1.05
Hess Corporation's current ratio has shown some fluctuations over the past eight quarters. The current ratio measures the company's ability to meet its short-term obligations with its current assets.
In Q1 2022, the current ratio stood at 1.42, indicating that the company had $1.42 in current assets for every dollar of current liabilities. The ratio increased to 1.69 in Q2 2022 and further to 1.78 in Q3 2022, signaling an improvement in the company's short-term liquidity position.
However, the current ratio started declining in the subsequent quarters. It dropped to 1.64 in Q4 2022 and continued to decrease to 1.65 in Q1 2023, further declining to 1.54 in Q2 2023, and then to 1.31 in Q3 2023. The most recent data point, Q4 2023, shows a current ratio of 1.05.
The declining trend in the current ratio may signify a potential liquidity concern for Hess Corporation, as its current assets may be decreasing relative to its current liabilities. It is important for the company to monitor this trend closely to ensure that it can meet its short-term financial obligations effectively.
Peer comparison
Dec 31, 2023