McCormick & Company Incorporated (MKC)
Current ratio
| Nov 30, 2024 | Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,139,000 | 2,001,600 | 2,386,700 | 2,195,800 | 2,083,600 |
| Total current liabilities | US$ in thousands | 2,882,800 | 3,098,900 | 3,432,400 | 3,223,800 | 3,046,500 |
| Current ratio | 0.74 | 0.65 | 0.70 | 0.68 | 0.68 |
November 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,139,000K ÷ $2,882,800K
= 0.74
The current ratio of McCormick & Company Incorporated has shown fluctuations over the past five years. As of November 30, 2020, the current ratio stood at 0.68 and remained constant at the same level in November 2021. It witnessed a slight improvement to 0.70 by November 30, 2022, indicating a better ability to cover its short-term liabilities with its current assets. However, there was a decrease in the current ratio to 0.65 by November 30, 2023, signaling potential challenges in meeting short-term obligations.
The most recent data, as of November 30, 2024, shows a further improvement in the current ratio to 0.74, suggesting a healthier liquidity position compared to the previous year. Overall, while the current ratio has experienced variations, it is important to assess other financial metrics and delve deeper into the company's liquidity management to gain a comprehensive understanding of its financial health.