Norwegian Cruise Line Holdings Ltd (NCLH)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	1,313,150	1,872,870	3,301,570	3,557,540	730,145
Total current liabilities	US$ in thousands	6,038,700	5,054,850	3,730,430	1,913,900	3,584,390
Current ratio		0.22	0.37	0.89	1.86	0.20

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,313,150K ÷ $6,038,700K
= 0.22

The current ratio of Norwegian Cruise Line Holdings Ltd has fluctuated significantly over the past five years. The current ratio measures the company's ability to cover its short-term obligations with its current assets.

In 2023, the current ratio stands at 0.22, indicating that the company may have difficulties meeting its short-term liabilities with its current assets. This marks a significant decline from the previous year, where the ratio was 0.37.

The sharp drop in the current ratio from 2022 to 2023 may raise concerns about the company's liquidity position and its ability to handle its short-term financial obligations. It is essential for investors and stakeholders to monitor this ratio closely to ensure the company can manage its short-term liquidity effectively.