Enviri Corporation (NVRI)
Liquidity ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Current ratio | 1.25 | 1.26 | 1.29 | 1.45 | 1.52 |
| Quick ratio | 0.16 | 0.19 | 0.14 | 0.14 | 0.14 |
| Cash ratio | 0.16 | 0.19 | 0.14 | 0.14 | 0.14 |
The liquidity ratios of Enviri Corporation show a consistent but slightly declining trend over the years.
- The current ratio has decreased from 1.52 in 2020 to 1.25 in 2024, indicating a gradual decrease in the company's ability to cover its short-term liabilities with its current assets.
- The quick ratio has remained relatively stable around 0.14 to 0.16, suggesting that Enviri Corporation may have some challenges meeting its short-term obligations without relying on inventory.
- The cash ratio has also shown consistency, ranging from 0.14 to 0.19, indicating the company's ability to cover its short-term liabilities with its cash or cash equivalents.
Overall, while the company maintains a reasonable level of liquidity with current assets covering current liabilities, the decreasing trend in the current ratio suggests a need for closer monitoring to ensure adequate liquidity in the future.
Additional liquidity measure
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 34.92 | 19.28 | 19.12 | 17.26 | 42.08 |
Based on the data provided, Enviri Corporation's cash conversion cycle has fluctuated over the years.
In 2020, the company's cash conversion cycle was 42.08 days, indicating that it took approximately 42 days for Enviri to convert its investments in inventory and other resources into cash.
By December 31, 2021, Enviri had significantly improved its cash conversion cycle to 17.26 days, showcasing a more efficient management of its working capital.
However, in the following years, there was a slight increase in the cash conversion cycle to 19.12 days by December 31, 2022, and 19.28 days by December 31, 2023.
By December 31, 2024, the cash conversion cycle had increased further to 34.92 days, indicating a potential delay in converting resources into cash.
Overall, fluctuations in Enviri Corporation's cash conversion cycle suggest changes in the company's efficiency in managing its working capital and liquidity over the years. Further analysis would be required to understand the drivers behind these changes and to assess the company's overall financial performance.