Murphy Oil Corporation (MUR)

Current ratio

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Total current assets US$ in thousands 785,279 629,615 757,448 760,889 752,194 887,011 869,148 801,800 972,300 951,587 1,066,880 960,050 880,900 830,731 918,606 691,305 1,000,300 733,656 763,390 1,212,360
Total current liabilities US$ in thousands 942,814 884,833 927,632 818,152 846,545 892,393 1,034,510 1,028,000 1,257,800 1,212,500 1,618,210 1,598,880 1,164,300 1,134,610 1,273,290 865,384 716,300 609,386 670,739 864,751
Current ratio 0.83 0.71 0.82 0.93 0.89 0.99 0.84 0.78 0.77 0.78 0.66 0.60 0.76 0.73 0.72 0.80 1.40 1.20 1.14 1.40

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $785,279K ÷ $942,814K
= 0.83

Based on the provided data, the current ratio of Murphy Oil Corporation has exhibited some fluctuations over the reported quarters. The current ratio, which indicates the company's ability to cover its short-term liabilities with its current assets, showed a decreasing trend from March 31, 2021, to June 30, 2022, reflecting a potential liquidity concern. During this period, the current ratio declined from 0.80 to 0.66.

However, starting from September 30, 2022, the current ratio began to improve, indicating a better ability to meet short-term obligations with current assets. The current ratio increased steadily from 0.78 on September 30, 2022, to 0.93 on March 31, 2024. This positive trend suggests a strengthening liquidity position for Murphy Oil Corporation during this period.

It is important to note that a current ratio of less than 1.0 may raise questions about the company's ability to meet its short-term obligations. Therefore, while the current ratio of Murphy Oil Corporation has shown variability over the quarters, the recent improvement is a positive sign for the company's liquidity position.