West Pharmaceutical Services Inc (WST)
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 | 1,936,400 | 1,972,300 | 1,874,200 | 1,937,200 | 1,919,500 | 1,733,600 | 1,771,100 | 1,690,500 | 1,742,000 | 1,598,300 | 1,477,000 | 1,327,000 | 1,373,700 | 1,238,300 | 1,110,600 | 977,500 | 1,058,700 | 1,004,100 | 944,300 | 867,600 |
| Total current liabilities | US$ in thousands | 671,800 | 533,500 | 511,600 | 534,900 | 519,000 | 456,700 | 565,100 | 584,800 | 594,100 | 558,600 | 472,600 | 482,800 | 503,400 | 447,700 | 375,200 | 344,400 | 341,600 | 335,000 | 313,200 | 301,100 |
| Current ratio | 2.88 | 3.70 | 3.66 | 3.62 | 3.70 | 3.80 | 3.13 | 2.89 | 2.93 | 2.86 | 3.13 | 2.75 | 2.73 | 2.77 | 2.96 | 2.84 | 3.10 | 3.00 | 3.02 | 2.88 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,936,400K ÷ $671,800K
= 2.88
The current ratio of West Pharmaceutical Services, Inc. has shown fluctuations over the past eight quarters, ranging from 2.88 to 3.80. In Q4 2023, the current ratio was 2.88, indicating that the company's current assets were 2.88 times its current liabilities. This was lower compared to the previous quarter, Q3 2023, where the current ratio was 3.70.
The company experienced a decrease in its current ratio in Q4 2023, which may raise concerns about its short-term liquidity position. A current ratio below 3.00 may suggest that the company could face challenges in meeting its short-term obligations. It will be important for West Pharmaceutical Services, Inc. to closely monitor its liquidity management and working capital to ensure it can cover its short-term liabilities in a sustainable manner.
Peer comparison
Dec 31, 2023