Scholastic Corporation (SCHL)
Current ratio
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 676,900 | 892,900 | 996,000 | 1,028,300 | 1,035,300 |
| Total current liabilities | US$ in thousands | 534,700 | 602,300 | 619,700 | 695,500 | 501,500 |
| Current ratio | 1.27 | 1.48 | 1.61 | 1.48 | 2.06 |
May 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $676,900K ÷ $534,700K
= 1.27
The current ratio of Scholastic Corporation has exhibited some fluctuation over the past five years. The ratio was at its lowest in 2024 at 1.27, indicating a decrease in the company's ability to cover its short-term liabilities with its current assets compared to the previous year. This could potentially raise concerns about the company's liquidity position.
In 2023 and 2021, the current ratio was relatively stable at 1.48, suggesting a moderate ability to meet short-term obligations with current assets. However, in 2022, the ratio improved to 1.61, reflecting an increase in liquidity compared to the previous years.
The highest current ratio was observed in 2020 at 2.06, indicating a strong ability to cover short-term liabilities with current assets. This could suggest that Scholastic Corporation had a healthier liquidity position in that year.
Overall, the trend in Scholastic Corporation's current ratio shows some variability, with the company's ability to meet short-term obligations with current assets fluctuating over the years. Further analysis of the company's financial performance and liquidity management may be necessary to understand the reasons behind these fluctuations and assess the company's overall financial health.
Peer comparison
May 31, 2024