Sotera Health Co (SHC)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 526,037 | 563,613 | 497,677 | 487,179 | 557,244 | 519,646 | 546,692 | 923,799 | 645,010 | 420,734 | 398,681 | 371,560 | 345,961 | 337,305 | 401,105 | 328,367 | 315,015 | 308,505 | 276,850 | 68,166 |
| Total current liabilities | US$ in thousands | 191,002 | 195,537 | 169,633 | 152,340 | 230,654 | 200,594 | 200,330 | 600,149 | 791,567 | 140,031 | 142,021 | 143,851 | 161,161 | 133,606 | 148,792 | 138,019 | 140,598 | 144,695 | 132,361 | 132,361 |
| Current ratio | 2.75 | 2.88 | 2.93 | 3.20 | 2.42 | 2.59 | 2.73 | 1.54 | 0.81 | 3.00 | 2.81 | 2.58 | 2.15 | 2.52 | 2.70 | 2.38 | 2.24 | 2.13 | 2.09 | 0.52 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $526,037K ÷ $191,002K
= 2.75
The current ratio of Sotera Health Co has shown a fluctuating trend over the past few years based on the provided data. Initially, as of March 31, 2020, the current ratio was relatively low at 0.52, indicating that the company had fewer current assets to cover its short-term liabilities. However, starting from June 30, 2020, the current ratio improved significantly to 2.09, and continued to increase steadily over the next few quarters, reaching a peak of 3.20 as of March 31, 2024.
This upward trend in the current ratio signifies that Sotera Health Co had ample current assets to meet its short-term obligations during this period. A higher current ratio is generally considered favorable as it indicates the company's liquidity and ability to cover its short-term liabilities comfortably.
However, it is essential to note that the current ratio experienced a decline from 3.20 as of March 31, 2024, to 2.75 as of December 31, 2024. This decrease may raise concerns regarding the company's ability to meet its short-term obligations using its current assets. Further monitoring of Sotera Health Co's current ratio is advisable to assess its liquidity position accurately.
Peer comparison
Dec 31, 2024