Marathon Petroleum Corp (MPC)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 32,131,000 | 35,242,000 | 30,496,000 | 28,287,000 | 30,458,000 |
| Total current liabilities | US$ in thousands | 20,150,000 | 20,020,000 | 17,898,000 | 15,663,000 | 16,948,000 |
| Current ratio | 1.59 | 1.76 | 1.70 | 1.81 | 1.80 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $32,131,000K ÷ $20,150,000K
= 1.59
The current ratio of Marathon Petroleum Corp has shown a fluctuating trend over the past five years. In 2019, the current ratio was at 1.25, indicating that the company had $1.25 in current assets for every $1 in current liabilities. However, there was a notable improvement in the current ratio in 2020, reaching 1.81, suggesting a stronger liquidity position.
Subsequently, there was a slight decline in the current ratio in 2021 to 1.70, followed by a further decrease in 2022 to 1.76. This suggests a potential decrease in the company's ability to cover its short-term obligations with its current assets during these years.
The most recent data for 2023 shows the current ratio at 1.59, indicating a further decline compared to the previous year. Overall, while the current ratio has been above 1 in all years, signifying that Marathon Petroleum Corp has had sufficient current assets to cover its current liabilities, the downward trend in recent years may warrant a closer examination of the company's liquidity management.
Peer comparison
Dec 31, 2023