Phillips 66 (PSX)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 17,910,000 | 19,941,000 | 21,922,000 | 14,697,000 | 13,276,000 |
| Total current liabilities | US$ in thousands | 15,087,000 | 15,856,000 | 15,889,000 | 12,801,000 | 9,518,000 |
| Current ratio | 1.19 | 1.26 | 1.38 | 1.15 | 1.39 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $17,910,000K ÷ $15,087,000K
= 1.19
The current ratio of Phillips 66 has exhibited some fluctuations over the past five years, ranging from 1.15 to 1.39. A current ratio above 1 indicates the company has more current assets than current liabilities, representing its ability to cover short-term obligations. In 2020, the current ratio was at a relatively healthy level of 1.39, suggesting ample liquidity. However, there was a decrease in 2021 to 1.15, potentially signaling a tighter financial position or increased short-term liabilities. The ratio recovered slightly in 2022 to 1.38 but dipped again in 2023 to 1.26 and further to 1.19 in 2024. These declines may point to challenges in managing current obligations or a shift in the composition of current assets and liabilities. Overall, while the current ratio for Phillips 66 has fluctuated, it generally indicates the company has maintained a level of liquidity to meet short-term financial obligations, although some caution may be warranted due to the recent downward trend.
Peer comparison
Dec 31, 2024