SkyWest Inc (SKYW)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,117,070 | 1,131,900 | 1,371,280 | 1,068,590 | 982,802 |
| Total current liabilities | US$ in thousands | 1,429,590 | 1,254,290 | 1,172,540 | 1,194,620 | 941,722 |
| Current ratio | 0.78 | 0.90 | 1.17 | 0.89 | 1.04 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,117,070K ÷ $1,429,590K
= 0.78
The current ratio of SkyWest Inc has fluctuated over the past five years. As of December 31, 2020, the ratio was 1.04, indicating that the company had just enough current assets to cover its current liabilities. However, by December 31, 2021, the ratio had decreased to 0.89, suggesting a potential liquidity issue as current liabilities exceeded current assets.
The following year, the current ratio improved to 1.17 on December 31, 2022, signaling a healthier position with sufficient current assets to meet short-term obligations. Nevertheless, by December 31, 2023, the ratio dropped back down to 0.90, raising concerns about the company's ability to pay off its short-term debts.
Most recently, as of December 31, 2024, the current ratio further declined to 0.78, indicating a potential liquidity risk for SkyWest Inc. Overall, the fluctuating trend in the current ratio suggests varying levels of liquidity and the need for the company to effectively manage its current assets and liabilities to ensure financial stability.
Peer comparison
Dec 31, 2024