Matson Inc (MATX)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	602,300	759,600	704,500	305,900	289,600
Total current liabilities	US$ in thousands	562,300	581,600	612,400	511,500	436,700
Current ratio		1.07	1.31	1.15	0.60	0.66

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $602,300K ÷ $562,300K
= 1.07

The current ratio of Matson Inc has shown fluctuations over the past five years. As of December 31, 2023, the current ratio stands at 1.07, which indicates that the company's current assets are slightly more than its current liabilities.

Comparing this to the previous years, a downward trend is observed from 1.31 in 2022 to 1.15 in 2021, and a significant improvement from 0.60 in 2020 to 0.66 in 2019. The fluctuating trend suggests potential variability in the company's liquidity position and its ability to meet short-term obligations.

A current ratio above 1 is generally considered favorable as it implies the company has more current assets than liabilities to cover its short-term obligations. However, consistently high current ratios could also indicate an inefficient use of resources. Conversely, a current ratio below 1 may raise concerns about the company's liquidity and ability to cover short-term debts.

Overall, while the current ratio of Matson Inc has improved from the previous year, further analysis of the company's liquidity position, cash flow, and operating cycle would provide a more comprehensive understanding of its financial health.