Louisiana-Pacific Corporation (LPX)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 855,000 | 778,000 | 854,000 | 890,000 | 993,000 |
| Total current liabilities | US$ in thousands | 299,000 | 259,000 | 336,000 | 351,000 | 286,000 |
| Current ratio | 2.86 | 3.00 | 2.54 | 2.54 | 3.47 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $855,000K ÷ $299,000K
= 2.86
Louisiana-Pacific Corporation's current ratio has fluctuated over the years based on the provided data. As of December 31, 2020, the current ratio stood at 3.47, indicating a strong ability to cover its short-term liabilities with current assets. However, by December 31, 2021, the current ratio decreased to 2.54, suggesting a potential weakening in the company's short-term liquidity position.
The current ratio remained at 2.54 by the end of 2022, indicating a consistent level of liquidity challenge for the company. By December 31, 2023, the current ratio improved to 3.00, reflecting a better ability to meet its short-term obligations with current assets. However, the ratio decreased slightly to 2.86 by December 31, 2024, which indicates a potential decline in liquidity compared to the previous year.
Overall, the trend in Louisiana-Pacific Corporation's current ratio shows some variability in its short-term liquidity position over the years, with fluctuations that may require further investigation to understand the factors driving these changes.
Peer comparison
Dec 31, 2024