The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Marks Electrical Group's current ratio for the quarter that ended in Sep. 2023 was 1.47.
Marks Electrical Group has a current ratio of 1.47. It generally indicates good short-term financial strength.
The historical rank and industry rank for Marks Electrical Group's Current Ratio or its related term are showing as below:
LSE:MRK'
s Current Ratio Range Over the Past 10 Years
Min: 1.01 Med: 1.46 Max: 1.58
Current: 1.47
During the past 5 years, Marks Electrical Group's highest Current Ratio was 1.58. The lowest was 1.01. And the median was 1.46.
LSE:MRK's Current Ratio is ranked worse than 54.77% of 1121
companies
in the Retail - Cyclical industry
Industry Median: 1.59
vs LSE:MRK: 1.47
Marks Electrical Group Current Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of Marks Electrical Group's Current Ratio
For the Internet Retail subindustry, Marks Electrical Group's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Marks Electrical Group's Current Ratio Distribution in the Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Marks Electrical Group's Current Ratio distribution charts can be found below:
* The bar in red indicates where Marks Electrical Group's Current Ratio falls into.
Marks Electrical Group Current Ratio Calculation
The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.
Marks Electrical Group's Current Ratio for the fiscal year that ended in Mar. 2023 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Marks Electrical Group (LSE:MRK) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Marks Electrical Group Current Ratio Related Terms
Thank you for viewing the detailed overview of Marks Electrical Group's Current Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Marks Electrical Group (LSE:MRK) Business Description
Marks Electrical Group PLC sells, delivers, installs, and recycles a wide range of household electrical products. Primarily through its retail website - markselectrical.co.uk, the company offers over 3,000 products from over fifty brands across its main product categories, which include Cooking, Refrigeration, Washers & Dryers, Dishwashers and Audio-Visual. These products are sourced from UK distributors of the brands, with whom the group maintains strong and direct relationships. Delivery to customers is operated by its own skilled team of delivery drivers in its owned and branded vehicles, who are also able to offer installation and recycling services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
LSE:MRK has been successfully added to your 