Agilysys Inc (AGYS)

Current ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Total current assets	US$ in thousands	188,937	183,694	153,411	149,438	154,658	159,083	136,427	132,140	136,173	149,614	134,223	134,827	133,250	131,952	115,544	116,942	93,408	84,313	72,393	73,449
Total current liabilities	US$ in thousands	89,371	91,207	72,707	73,893	78,515	81,132	62,054	62,777	71,466	64,151	52,199	57,019	61,155	58,425	45,777	56,054	69,423	62,569	52,585	53,756
Current ratio		2.11	2.01	2.11	2.02	1.97	1.96	2.20	2.10	1.91	2.33	2.57	2.36	2.18	2.26	2.52	2.09	1.35	1.35	1.38	1.37

March 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $188,937K ÷ $89,371K
= 2.11

The current ratio of Agilysys Inc has shown some fluctuation over the past few quarters, ranging from 1.35 to 2.57. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. A current ratio above 1 indicates that a company has more current assets than current liabilities, suggesting good liquidity.

Looking at the trend, the current ratio has generally been above 2 in recent periods, indicating a healthy liquidity position for Agilysys Inc. A ratio above 2 suggests that the company is well-positioned to meet its short-term obligations using its current assets, including cash, accounts receivable, and inventory.

While the current ratio dipped below 2 in some quarters, such as in March 2020 and December 2021, it rebounded in subsequent periods. It is important for the company to maintain a current ratio above 1 to ensure it can meet its short-term financial obligations. Overall, Agilysys Inc's current ratio trend indicates a prudent management of current assets and liabilities to ensure sufficient liquidity.