Belden Inc (BDC)

Current ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total current assets US$ in thousands 1,196,230 1,456,980 1,536,210 1,877,640 1,098,400
Total current liabilities US$ in thousands 622,704 633,504 639,919 752,866 520,761
Current ratio 1.92 2.30 2.40 2.49 2.11

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,196,230K ÷ $622,704K
= 1.92

The current ratio of Belden Inc has exhibited a positive trend over the past five years. Starting at 2.11 in December 31, 2020, the ratio steadily increased to 2.49 by December 31, 2021. Although there was a slight dip to 2.40 in December 31, 2022, the ratio remained relatively strong.

However, there was a more noticeable decrease to 2.30 by December 31, 2023, indicating a potential strain on Belden Inc's short-term liquidity. This was further emphasized by a sharper decline to 1.92 by December 31, 2024, suggesting a potential reduction in the company's ability to meet its short-term obligations.

Overall, while the current ratio of Belden Inc has generally been above 1, which indicates a healthy liquidity position, the decreasing trend in recent years may require closer monitoring to ensure the company can effectively manage its current liabilities with its current assets.