Etsy Inc (ETSY)

Current ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total current assets	US$ in thousands	1,327,690	1,570,450	1,513,740	1,341,500	1,894,780
Total current liabilities	US$ in thousands	665,113	710,781	631,755	615,588	454,664
Current ratio		2.00	2.21	2.40	2.18	4.17

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,327,690K ÷ $665,113K
= 2.00

The current ratio for Etsy Inc has shown a downward trend over the past five years, decreasing from 4.17 in December 31, 2020 to 2.00 in December 31, 2024. This indicates a decline in the company's ability to meet its short-term obligations with its current assets. While the current ratio remained above 2 for most of the years, suggesting that the company had a relatively healthy liquidity position, the decreasing trend may warrant further investigation into the company's asset management and liquidity management practices to ensure its ability to meet upcoming short-term financial obligations.