Simpson Manufacturing Company Inc (SSD)
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 | 1,176,320 | 1,334,770 | 1,331,080 | 1,328,750 | 1,312,440 | 1,478,200 | 1,372,800 | 1,222,540 | 1,179,250 | 1,232,150 | 1,204,610 | 1,787,880 | 998,835 | 949,654 | 901,703 | 819,001 | 753,139 | 820,405 | 834,902 | 751,983 |
| Total current liabilities | US$ in thousands | 366,348 | 377,951 | 360,325 | 352,441 | 361,257 | 427,569 | 396,948 | 330,666 | 348,563 | 346,166 | 361,396 | 306,849 | 244,602 | 245,477 | 232,454 | 224,814 | 194,061 | 191,161 | 193,414 | 162,851 |
| Current ratio | 3.21 | 3.53 | 3.69 | 3.77 | 3.63 | 3.46 | 3.46 | 3.70 | 3.38 | 3.56 | 3.33 | 5.83 | 4.08 | 3.87 | 3.88 | 3.64 | 3.88 | 4.29 | 4.32 | 4.62 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,176,320K ÷ $366,348K
= 3.21
Simpson Manufacturing Company Inc's current ratio, a liquidity ratio that measures the company's ability to cover its short-term obligations with its current assets, has exhibited fluctuations over the periods provided in the data.
The current ratio shows an increasing trend from March 31, 2020, to March 31, 2022, peaking at 5.83, indicating a strong ability to meet short-term liabilities with current assets during this period. However, there was a notable decrease in the current ratio from June 30, 2022, to December 31, 2024, with the ratio ranging between 3.21 and 3.77.
While the current ratio remained above 3 for the majority of the periods, indicating a healthy liquidity position, the declining trend in recent quarters may raise concerns about the company's short-term liquidity management. It is essential for investors and stakeholders to monitor this ratio closely to assess the company's ability to meet its short-term obligations as its business operations evolve.
Peer comparison
Dec 31, 2024