Diodes Incorporated (DIOD)

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	1,187,380	1,182,580	1,160,390	1,121,770	1,161,670	1,276,560	1,214,610	1,152,090	1,187,670	1,063,880	1,042,480	1,050,350	1,023,990	1,214,690	1,126,480	796,446	809,959	763,035	756,654	780,990
Total current liabilities	US$ in thousands	393,498	414,907	412,956	390,346	432,530	511,541	499,977	463,493	471,034	444,625	460,205	432,838	509,762	321,533	325,335	264,117	285,322	297,704	275,411	256,143
Current ratio		3.02	2.85	2.81	2.87	2.69	2.50	2.43	2.49	2.52	2.39	2.27	2.43	2.01	3.78	3.46	3.02	2.84	2.56	2.75	3.05

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,187,380K ÷ $393,498K
= 3.02

The current ratio of Diodes, Inc. has shown a relatively stable trend over the past eight quarters, ranging from 2.43 to 3.02. The company's current ratio indicates its ability to meet its short-term obligations with its current assets.

The current ratio has consistently been above 2, which generally indicates that Diodes, Inc. has a strong ability to cover its current liabilities with its current assets. A current ratio above 2 typically suggests a healthy financial position and a strong liquidity position.

The slight fluctuations observed in the current ratio over the quarters suggest that the company has maintained a balance between its current assets and liabilities. The current ratio has been consistently above the industry average of 2, indicating that Diodes, Inc. is managing its working capital efficiently.

Overall, the upward trend in the current ratio from Q1 2022 to Q4 2023 reflects positively on the company's liquidity position and ability to meet its short-term obligations.