Chemed Corp (CHE)

Current ratio

		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	Mar 31, 2019
Total current assets	US$ in thousands	500,843	394,539	337,160	262,221	272,612	198,869	203,146	184,751	230,286	200,564	269,086	346,974	329,403	270,596	189,307	198,815	190,671	167,795	180,178	159,155
Total current liabilities	US$ in thousands	312,050	297,219	302,487	283,460	297,205	298,150	285,068	279,651	302,399	286,086	267,402	290,215	299,108	329,163	318,516	246,737	262,220	251,501	223,669	217,100
Current ratio		1.61	1.33	1.11	0.93	0.92	0.67	0.71	0.66	0.76	0.70	1.01	1.20	1.10	0.82	0.59	0.81	0.73	0.67	0.81	0.73

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $500,843K ÷ $312,050K
= 1.61

The current ratio of Chemed Corp. has shown a general upward trend over the past eight quarters, starting at 0.66 in Q1 2022 and reaching 1.61 in Q4 2023. This indicates an improvement in the company's short-term liquidity position and its ability to meet its current obligations using its current assets.

The current ratio was consistently below 1 in the first three quarters of 2022 and Q1 2023, indicating potential liquidity issues. However, the ratio started to improve in Q2 2023 and has been above 1 since then, suggesting a healthier liquidity position.

Overall, the increasing trend in the current ratio of Chemed Corp. shows that the company has been managing its current assets and liabilities effectively, which is a positive sign for its financial stability in the short term.