Sylvamo Corp (SLVM)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,193,000 | 1,243,000 | 1,108,000 |
| Total current liabilities | US$ in thousands | 695,000 | 728,000 | 758,000 |
| Current ratio | 1.72 | 1.71 | 1.46 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,193,000K ÷ $695,000K
= 1.72
The current ratio of Sylvamo Corp has fluctuated over the past four years, indicating changes in the company's liquidity position.
In 2023, the current ratio stood at 1.72, showing a slight improvement from the previous year's ratio of 1.71. This suggests that Sylvamo Corp had $1.72 in current assets available to cover each dollar of current liabilities at the end of 2023.
Comparing to 2021, when the current ratio was 1.46, there has been a notable increase in liquidity. The company had strengthened its ability to meet short-term obligations by having more current assets relative to current liabilities in 2023.
However, the current ratio in 2023 was lower than in 2020 when it stood at 2.28. This indicates a potential decrease in liquidity compared to the previous year. It is important to further investigate the reasons behind this decline in the current ratio to assess the company's current financial health and ability to meet its short-term obligations.
Peer comparison
Dec 31, 2023