Gilead Sciences Inc (GILD)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 18,000,000 | 14,779,000 | 12,317,000 | 14,041,000 | 16,454,000 | 16,013,000 | 15,411,000 | 14,372,000 | 15,227,000 | 13,898,000 | 13,175,000 | 13,214,000 | 15,056,000 | 14,200,000 | 14,498,000 | 13,166,000 | 15,816,000 | 31,915,000 | 26,351,000 | 30,242,000 |
| Total current liabilities | US$ in thousands | 12,004,000 | 11,725,000 | 10,781,000 | 13,015,000 | 11,280,000 | 11,945,000 | 13,964,000 | 10,528,000 | 11,237,000 | 10,423,000 | 9,220,000 | 8,558,000 | 11,610,000 | 10,245,000 | 10,214,000 | 9,705,000 | 11,397,000 | 9,509,000 | 10,564,000 | 8,879,000 |
| Current ratio | 1.50 | 1.26 | 1.14 | 1.08 | 1.46 | 1.34 | 1.10 | 1.37 | 1.36 | 1.33 | 1.43 | 1.54 | 1.30 | 1.39 | 1.42 | 1.36 | 1.39 | 3.36 | 2.49 | 3.41 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $18,000,000K ÷ $12,004,000K
= 1.50
The current ratio of Gilead Sciences Inc has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The current ratio measures the company's ability to meet its short-term obligations with its current assets.
Gilead's current ratio was relatively stable and strong at the beginning of the period, standing at 3.41 on March 31, 2020. However, there was a notable drop in the ratio to 1.39 by December 31, 2020, indicating a potential liquidity concern as the ratio fell below the ideal level of 2.
The trend continued to decline through the first half of 2021, reaching 1.36 on March 31, 2021. There was a slight improvement in the current ratio in the later part of 2021, but it remained below 2.
Throughout 2022 and the first half of 2023, Gilead's current ratio hovered around 1.40, showing some stability but still indicating a weaker liquidity position compared to the earlier years.
However, in the latter part of 2023 and 2024, the current ratio experienced significant fluctuations, dropping to as low as 1.08 on March 31, 2024, which could be a cause for concern regarding the company's ability to cover its short-term obligations.
Overall, the declining trend in Gilead's current ratio from the initial strong levels indicates a potential liquidity risk that investors and stakeholders may need to monitor closely.
Peer comparison
Dec 31, 2024