Vulcan Materials Company (VMC)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,524,900 | 2,701,200 | 2,043,700 | 1,792,500 | 1,902,000 | 2,333,400 | 1,899,500 | 1,662,600 | 1,696,600 | 1,718,400 | 2,200,400 | 1,993,000 | 2,277,200 | 2,265,330 | 2,030,110 | 1,276,780 | 1,379,330 | 1,324,240 | 1,255,020 | 1,083,850 |
| Total current liabilities | US$ in thousands | 797,600 | 864,200 | 793,300 | 756,900 | 956,600 | 1,362,500 | 1,029,300 | 892,700 | 769,300 | 876,700 | 599,200 | 565,900 | 1,047,900 | 1,069,890 | 1,038,750 | 475,676 | 535,563 | 535,284 | 663,588 | 659,607 |
| Current ratio | 3.17 | 3.13 | 2.58 | 2.37 | 1.99 | 1.71 | 1.85 | 1.86 | 2.21 | 1.96 | 3.67 | 3.52 | 2.17 | 2.12 | 1.95 | 2.68 | 2.58 | 2.47 | 1.89 | 1.64 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,524,900K ÷ $797,600K
= 3.17
Based on the data provided for Vulcan Materials Co's current ratio over the past eight quarters, we observe a generally increasing trend from Q1 2022 to Q4 2023. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, has improved from 1.86 in Q1 2022 to 3.17 in Q4 2023.
This indicates that Vulcan Materials Co's liquidity position has strengthened over the quarters, as it has a greater ability to meet its short-term liabilities with its current assets. The company has shown consistent improvement in managing its current assets and liabilities, which is a positive sign of financial health and stability.
Additionally, the current ratio exceeding 1 suggests that Vulcan Materials Co has more than enough current assets to cover its current liabilities, indicating a healthy liquidity position. It is important to note that a higher current ratio signifies better liquidity and financial strength, which can also potentially provide a cushion during economic downturns or unexpected financial challenges.
Peer comparison
Dec 31, 2023