Black Hills Corporation (BKH)

Current ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	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
Total current assets	US$ in thousands	742,300	599,500	1,173,600	797,600	826,600	1,240,270	802,328	918,318	1,071,700	849,248	760,427	849,308	808,133	627,726	571,739	578,615	493,291	403,657	414,105	489,673
Total current liabilities	US$ in thousands	763,400	536,200	1,106,800	1,088,400	1,185,100	1,602,670	977,860	1,038,910	1,666,700	969,597	785,180	794,724	901,713	758,117	1,230,530	1,229,600	696,533	513,932	384,965	719,854
Current ratio		0.97	1.12	1.06	0.73	0.70	0.77	0.82	0.88	0.64	0.88	0.97	1.07	0.90	0.83	0.46	0.47	0.71	0.79	1.08	0.68

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $742,300K ÷ $763,400K
= 0.97

The current ratio of Black Hills Corporation has shown fluctuation over the past few years based on the provided data. The ratio was below 1 for several quarters, indicating potential liquidity challenges in meeting short-term obligations with current assets alone. However, there was an improvement in the ratio in the latter part of 2023 and early 2024, surpassing 1, which may suggest a better ability to cover short-term liabilities with current assets during those periods.

It is important to note that while a current ratio above 1 generally signifies good liquidity, a ratio significantly higher than 1 may indicate an inefficient use of assets. Therefore, Black Hills Corporation should aim to maintain a current ratio at an optimal level to ensure both liquidity and operational efficiency.