Viatris Inc (VTRS)

Current ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total current assets	US$ in thousands	12,976,100	10,635,400	10,902,900	12,867,500	6,757,300
Total current liabilities	US$ in thousands	7,777,400	6,746,200	9,884,400	10,562,900	5,569,100
Current ratio		1.67	1.58	1.10	1.22	1.21

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $12,976,100K ÷ $7,777,400K
= 1.67

The current ratio of Viatris Inc has shown fluctuation over the past five years. The current ratio measures the company's ability to cover its short-term liabilities with its current assets.

As of December 31, 2023, the current ratio stands at 1.67, indicating that the company has $1.67 in current assets for every $1 in current liabilities. This represents an improvement from the previous year, where the ratio was 1.58.

Looking back at previous years, the current ratio was lower in 2021 at 1.10 compared to 2020 and 2019 when it was relatively consistent at around 1.22 and 1.21, respectively. A current ratio above 1 suggests that Viatris Inc has more than enough current assets to cover its short-term obligations.

Overall, the increasing trend in the current ratio from 2021 to 2023 indicates an improvement in Viatris Inc's liquidity position and ability to meet its short-term liabilities. It is crucial for the company to maintain a healthy current ratio to ensure financial stability and meet its obligations efficiently. Further analysis of component elements within current assets and liabilities would provide more insights into the company's liquidity position.