Altria Group (MO)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 5,585,000 | 7,220,000 | 6,083,000 | 7,117,000 | 4,824,000 |
| Total current liabilities | US$ in thousands | 11,319,000 | 8,616,000 | 8,579,000 | 9,063,000 | 8,174,000 |
| Current ratio | 0.49 | 0.84 | 0.71 | 0.79 | 0.59 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $5,585,000K ÷ $11,319,000K
= 0.49
The current ratio of Altria Group Inc. has fluctuated over the past five years. On December 31, 2023, the current ratio was 0.49, indicating that the company may have difficulties meeting its short-term obligations with its current assets alone. This could be a cause for concern as it suggests a potential liquidity strain.
In comparison, the current ratio was higher in 2022 at 0.84, which indicated a healthier financial position in terms of short-term liquidity. However, the ratio decreased in 2021 to 0.71 and further declined in 2020 to 0.79, possibly signaling challenges in managing current liabilities with existing current assets.
The lowest current ratio was observed in 2019 at 0.59, which indicated a similar liquidity concern as in 2023. The fluctuating trend in the current ratio suggests that Altria Group Inc. may have experienced varying levels of liquidity risks over the years, impacting its ability to cover immediate obligations with its current assets. Further analysis of the company's liquidity management practices and financial performance may be necessary to understand the underlying reasons for these fluctuations.
Peer comparison
Dec 31, 2023