Sun Country Airlines Holdings Inc (SNCY)

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
Total current assets	US$ in thousands	266,584	226,024	213,712	234,969	271,351	260,305	302,263	325,993	345,490	337,740	363,338	349,243	375,443
Total current liabilities	US$ in thousands	422,290	380,824	367,339	383,567	418,582	370,875	383,255	366,368	377,128	320,689	331,361	301,476	281,651
Current ratio		0.63	0.59	0.58	0.61	0.65	0.70	0.79	0.89	0.92	1.05	1.10	1.16	1.33

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $266,584K ÷ $422,290K
= 0.63

The current ratio of Sun Country Airlines Holdings Inc has been declining over the period from December 31, 2021, to December 31, 2024. The current ratio, which measures the company's ability to cover its short-term liabilities with its short-term assets, has decreased from 1.33 on December 31, 2021, to 0.63 on December 31, 2024.

A current ratio of less than 1 indicates that the company may have difficulty meeting its short-term obligations with its current assets alone. Sun Country Airlines Holdings Inc's current ratio falling below 1 by the end of the period suggests a potential liquidity concern where the company may struggle to meet its short-term financial obligations using its current assets.

The declining trend in the current ratio indicates a deteriorating liquidity position for Sun Country Airlines Holdings Inc over the analyzed period. It would be advisable for the company to closely monitor and manage its liquidity position to ensure it can meet its short-term obligations without facing financial distress.