BJs Restaurants Inc (BJRI)

Current ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total current assets US$ in thousands 79,565 83,021 82,258 90,815 95,290
Total current liabilities US$ in thousands 196,309 199,325 196,858 200,434 177,899
Current ratio 0.41 0.42 0.42 0.45 0.54

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $79,565K ÷ $196,309K
= 0.41

Based on the data provided, BJ's Restaurants Inc's current ratio has been declining over the past five years. The current ratio measures a company's ability to cover its short-term liabilities with its short-term assets. A current ratio below 1 indicates that the company may have difficulty meeting its short-term obligations.

In 2020, the current ratio was 0.54, which means that the company had $0.54 in current assets for every $1 in current liabilities. However, this ratio decreased to 0.41 by the end of 2024, indicating a worsening liquidity position. A declining current ratio may suggest that the company is facing challenges in managing its short-term obligations, such as paying off debts and suppliers.

It is essential for investors and stakeholders to closely monitor BJ's Restaurants Inc's current ratio trend, as a persistently low ratio could raise concerns about the company's financial health and ability to withstand short-term financial pressures.