Silgan Holdings Inc (SLGN)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 642,923 | 585,622 | 631,439 | 409,481 | 203,824 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 599,524 | 657,968 | 711,332 | 619,535 | 504,986 |
| Total current liabilities | US$ in thousands | 2,311,860 | 1,437,860 | 1,508,520 | 1,191,620 | 1,018,530 |
| Quick ratio | 0.54 | 0.86 | 0.89 | 0.86 | 0.70 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($642,923K
+ $—K
+ $599,524K)
÷ $2,311,860K
= 0.54
The quick ratio of Silgan Holdings Inc. has fluctuated over the past five years. In 2023, the quick ratio stood at 0.61, indicating a decrease from the previous year. While the quick ratio was higher in 2022 at 0.95, it remained above 0.90, suggesting a strong ability to cover short-term liabilities with liquid assets.
Comparing to the years prior to 2022, Silgan's quick ratio experienced slight variations. In 2021, the quick ratio was 0.99, indicating an improvement from 2020 when it was 0.94. The company's liquidity position was weaker in 2019 with a quick ratio of 0.76.
Overall, the downward trend in the quick ratio since 2022 may raise concerns about the company's ability to meet its short-term obligations using its current liquid assets. Further investigation into the composition of current assets and liabilities is needed to gain a more comprehensive understanding of Silgan Holdings Inc.'s liquidity position.
Peer comparison
Dec 31, 2023