ZoomInfo Technologies Inc. (GTM)

Current ratio

Mar 31, 2025 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
Total current assets US$ in thousands 410,100 451,000 390,700 659,600 740,200 864,300 855,100 944,700 905,100 832,000 663,200 578,800 617,200 545,700 408,700 530,000 485,500 454,200 421,400 372,700
Total current liabilities US$ in thousands 624,400 652,100 624,100 680,700 664,100 638,400 573,100 607,900 617,000 572,700 518,000 535,800 515,900 507,600 407,900 385,500 348,200 320,800 247,500 237,700
Current ratio 0.66 0.69 0.63 0.97 1.11 1.35 1.49 1.55 1.47 1.45 1.28 1.08 1.20 1.08 1.00 1.37 1.39 1.42 1.70 1.57

March 31, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $410,100K ÷ $624,400K
= 0.66

The analysis of ZoomInfo Technologies Inc.'s current ratio from June 30, 2020, to March 31, 2025, reveals notable fluctuations over this period. Initially, the company's current ratio was relatively strong, beginning at 1.57 in June 2020 and rising to 1.70 by September 2020. This indicates a comfortable liquidity position, with current assets significantly exceeding current liabilities at that time.

Subsequently, the current ratio experienced a decline, dropping to 1.42 by December 2020 and further decreasing to 1.39 in March 2021. While still above 1, these readings suggest a slight erosion in liquidity. The ratio stabilized somewhat, ranging around 1.37 to 1.00 through 2021, with a notable low of 1.00 in September 2021. This lower figure signals a reduction in liquidity buffers, although the ratio remained marginally above unity, indicating the company still maintained sufficient short-term assets to cover current liabilities.

From late 2021 onwards, the current ratio showed a gradual recovery, reaching 1.45 in December 2022 and maintaining a generally upward trend through 2023, peaking at 1.55 in June 2023. This indicates an enhanced liquidity position, with the firm possessing a higher level of current assets relative to current liabilities.

However, subsequent quarters experienced a decline in the ratio, falling to 1.49 in September 2023 and further to 1.35 in December 2023. The trend continued downward in the following months, with the ratio decreasing to 1.11 by March 2024, and further to 0.97 in June 2024. The ratio remained below 1.0 in the most recent periods, at 0.63 in September 2024 and around 0.69 in December 2024, before a slight increase to 0.66 in March 2025.

Overall, the long-term trend indicates that after an initially strong liquidity position, the company's current ratio has generally declined in recent periods and has fallen below the critical threshold of 1.0, suggesting reduced short-term liquidity. This decline may reflect increased current liabilities, diminished current assets, or a combination of both, signaling a potential concern for liquidity management in the near term.