California Water Service Group (CWT)

Current ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total current assets	US$ in thousands	324,136	296,285	295,535	300,458	266,016
Total current liabilities	US$ in thousands	538,364	430,339	294,650	256,576	588,706
Current ratio		0.60	0.69	1.00	1.17	0.45

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $324,136K ÷ $538,364K
= 0.60

The current ratio of California Water Service Group has shown fluctuations over the past five years. As of December 31, 2020, the current ratio was 0.45, indicating that the company may have had difficulty meeting its short-term obligations with its current assets at that time. However, by December 31, 2021, the current ratio improved significantly to 1.17, suggesting a healthier financial position with more current assets available to cover current liabilities.

In the following years, there were some fluctuations in the current ratio. By December 31, 2022, the ratio decreased to 1.00, which still indicates the company's ability to meet its short-term obligations. However, by December 31, 2023, the current ratio declined to 0.69, raising concerns about the company's liquidity and ability to cover its short-term liabilities.

Most recently, as of December 31, 2024, the current ratio further decreased to 0.60, indicating a potential strain on the company's liquidity and its ability to meet immediate financial obligations. Overall, the fluctuating trend in the current ratio of California Water Service Group highlights the importance of closely monitoring liquidity levels and managing short-term obligations effectively to ensure financial stability and operational continuity.