Ryder System Inc (R)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,265,000 | 2,200,000 | 2,461,000 | 1,595,530 | 1,562,050 |
| Total current liabilities | US$ in thousands | 3,649,000 | 3,316,000 | 3,201,000 | 2,053,150 | 2,625,350 |
| Current ratio | 0.62 | 0.66 | 0.77 | 0.78 | 0.59 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,265,000K ÷ $3,649,000K
= 0.62
The current ratio of Ryder System, Inc. has fluctuated over the past five years. The ratio was 0.62 at the end of 2023, down from 0.66 in 2022. This indicates that the company's current assets available to cover its current liabilities decreased, potentially signaling a liquidity concern. Comparing this to the previous years, the current ratio has been below 1, which suggests that the company may have difficulty meeting its short-term obligations with its current assets alone.
Further analysis reveals a downward trend in the current ratio from 0.77 in 2021 to 0.62 in 2023. This steady decrease may indicate potential challenges in managing short-term liquidity. The current ratio was also relatively low at 0.59 in 2019, demonstrating a persistently weak liquidity position.
Overall, the current ratio of Ryder System, Inc. has shown a consistent pattern of being below 1 in recent years, which could raise concerns about the company's ability to meet its short-term obligations with its current assets. Management may need to focus on improving liquidity and working capital management to enhance the company's financial stability.
Peer comparison
Dec 31, 2023