CommVault Systems Inc (CVLT)

Current ratio

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Total current assets	US$ in thousands	635,057	595,126	550,914	484,081	607,600
Total current liabilities	US$ in thousands	555,050	484,928	410,076	394,064	373,202
Current ratio		1.14	1.23	1.34	1.23	1.63

March 31, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $635,057K ÷ $555,050K
= 1.14

The current ratio of CommVault Systems Inc has demonstrated some fluctuation over the past five years. As of March 31, 2021, the current ratio was 1.63, indicating healthy short-term liquidity. However, over the subsequent years, the current ratio experienced a decline to 1.23 as of both March 31, 2022, and March 31, 2024. This suggests a potential tightening of liquidity and the company may face challenges in meeting its short-term obligations with its current assets alone on those specific dates.

There was a slight improvement in the current ratio to 1.34 as of March 31, 2023, but it decreased again to 1.14 as of March 31, 2025. This downward trend may raise concerns about the company's ability to cover its short-term liabilities comfortably using its current assets. Management should monitor this ratio closely to ensure that the company maintains an appropriate level of liquidity to meet its short-term obligations effectively.