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

Company name
Symbol
Current ratio
Encompass Health Corp
EHC
1.05
Mednax Inc
MD
1.47
Select Medical Holdings
SEM
1.04