SunCoke Energy Inc (SXC)

Liquidity ratios

	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
Current ratio	2.31	2.22	2.22	2.06	1.86	1.68	1.72	1.77	1.67	1.77	1.72	1.67	1.49	1.37	1.56	1.45	1.45	1.77	2.31	2.68
Quick ratio	0.92	0.80	0.41	0.57	0.63	0.50	0.35	0.36	0.40	0.27	0.29	0.35	0.35	0.30	0.32	0.32	0.30	0.55	0.68	1.40
Cash ratio	0.92	0.80	0.41	0.57	0.63	0.50	0.35	0.36	0.40	0.27	0.29	0.35	0.35	0.30	0.32	0.32	0.30	0.55	0.68	1.40

SunCoke Energy Inc's liquidity ratios show fluctuations over the periods analyzed. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, has generally decreased from 2.68 in March 2020 to 2.31 in June 2020, hitting a low of 1.37 in September 2021, before gradually increasing to 2.31 in December 2024.

The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, exhibited a similar trend, declining from 1.40 in March 2020 to as low as 0.27 in September 2022, before showing improvement to reach 0.92 by December 2024.

The cash ratio, which assesses the company's ability to cover its current liabilities with cash and cash equivalents, mirrored the behavior of the quick ratio, indicating a decline in liquidity from earlier periods to September 2022, followed by an increase towards the end of the period analyzed, reaching 0.92 in December 2024.

Overall, although there have been fluctuations in SunCoke Energy Inc's liquidity ratios over the years, the company seems to have improved its liquidity position by the end of the period analyzed, as indicated by the increasing current ratio, quick ratio, and cash ratio. However, it is essential for stakeholders to continue monitoring these ratios to ensure the company maintains a sound liquidity position in the future.

Additional liquidity measure

		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
Cash conversion cycle	days	39.63	41.14	42.98	38.30	37.86	43.81	43.02	51.35	39.85	51.50	53.56	59.90	41.43	43.99	50.77	48.81	44.08	41.93	40.78	42.98

The cash conversion cycle of SunCoke Energy Inc has displayed some fluctuations over the past few years. The cycle is a measure of how long it takes for a company to convert its investments in inventory and other resources into cash flows from sales and collection activities.

Based on the provided data, the cash conversion cycle ranged from a low of 37.86 days on December 31, 2023, to a high of 59.90 days on March 31, 2022. A lower number of days in the cycle indicates that the company is efficiently managing its working capital, while a higher number suggests that there may be inefficiencies in the cash flow cycle.

Analyzing the trend, there was an increase in the cash conversion cycle from the end of 2022 to the first quarter of 2023, reflecting a potential delay in converting investments into cash. However, from the first quarter of 2023 to the end of 2024, there was a general improvement with a gradual decrease in the cycle days, indicating better management of working capital and a more efficient cash flow process.

It is crucial for SunCoke Energy Inc to monitor and manage its cash conversion cycle effectively to ensure optimal utilization of resources and maintain healthy cash flows for sustainable operations and growth.