Perrigo Company PLC (PRGO)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,481,900 | 2,832,900 | 2,719,900 | 3,859,900 | 3,133,500 |
| Total current liabilities | US$ in thousands | 1,044,200 | 1,586,300 | 1,113,600 | 1,587,900 | 1,382,000 |
| Current ratio | 2.38 | 1.79 | 2.44 | 2.43 | 2.27 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,481,900K ÷ $1,044,200K
= 2.38
The current ratio of Perrigo Company PLC has shown a positive trend over the past five years, starting at 2.27 in 2020 and reaching its peak at 2.44 in 2022. This indicates that the company had more than enough current assets to cover its current liabilities during this period. However, there was a slight decrease in 2023 to 1.79 before recovering to 2.38 in 2024.
A current ratio above 1 suggests that the company can meet its short-term obligations using its current assets. Perrigo's current ratio remained comfortably above 1 throughout the period, indicating a healthy liquidity position. The fluctuations in the current ratio over the years may be attributed to changes in the company's current assets and liabilities structure, which should be further investigated to understand the underlying reasons for the variations. Overall, Perrigo Company PLC's current ratio demonstrates a strong liquidity position during the analyzed period.
Peer comparison
Dec 31, 2024