Encompass Health Corp (EHC)
Current ratio
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Total current assets | US$ in thousands | 886,900 | 841,800 | 717,200 | 921,400 | 948,600 |
Total current liabilities | US$ in thousands | 841,000 | 656,400 | 575,900 | 748,800 | 717,300 |
Current ratio | 1.05 | 1.28 | 1.25 | 1.23 | 1.32 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $886,900K ÷ $841,000K
= 1.05
The current ratio for Encompass Health Corp has displayed a fluctuating trend over the past five years. Starting at 1.32 in December 2020, it decreased to 1.23 by the end of 2021, before slightly improving to 1.25 in 2022 and further to 1.28 in 2023. However, in December 2024, the current ratio notably decreased to 1.05, indicating a potential liquidity concern. Overall, Encompass Health Corp's current ratio suggests a varying ability to cover short-term obligations with its current assets over the period analyzed. Further investigation into the company's liquidity management may be warranted to address the recent decline in current ratio.
Peer comparison
Dec 31, 2024