First Solar Inc (FSLR)

Current ratio

		Dec 31, 2024	Sep 30, 2024	Mar 31, 2024	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
Total current assets	US$ in thousands	5,089,030	3,818,100	4,241,390	4,634,810	3,824,000	3,660,730	3,619,860	3,791,420	3,338,750	3,383,420	2,994,990	3,191,240	3,046,320	3,155,480	3,136,890	3,014,540	2,800,490	2,731,180	2,747,840	3,599,830
Total current liabilities	US$ in thousands	2,077,440	1,782,160	1,758,720	1,306,160	1,199,100	1,090,610	1,174,170	1,038,050	816,268	803,554	734,990	726,878	715,236	660,923	669,341	847,398	731,091	747,036	732,435	1,318,210
Current ratio		2.45	2.14	2.41	3.55	3.19	3.36	3.08	3.65	4.09	4.21	4.07	4.39	4.26	4.77	4.69	3.56	3.83	3.66	3.75	2.73

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $5,089,030K ÷ $2,077,440K
= 2.45

First Solar Inc's current ratio has exhibited some fluctuations over the reported periods, ranging from a low of 2.41 on March 31, 2024, to a high of 4.77 on June 30, 2021. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. Higher current ratios indicate a healthier liquidity position, as the company has more current assets available to cover its current liabilities.

Observing the trend in First Solar Inc's current ratio, it appears that there is significant variability, but generally, the company has maintained a current ratio above 2. This indicates that it has a strong ability to meet its short-term obligations using its current assets.

The current ratio peaked at 4.77 on June 30, 2021, indicating that First Solar Inc had substantially more current assets than current liabilities at that point. However, the current ratio decreased in the subsequent periods before experiencing a slight recovery. As of December 31, 2024, the current ratio was 2.45, which is still above 2 but lower than the highs seen in previous periods.

Overall, based on the current ratio trend, First Solar Inc appears to generally have a solid liquidity position, with the ability to cover its short-term obligations. However, stakeholders should continue to monitor changes in the current ratio to ensure the company maintains a healthy liquidity position.