Healthcare Services Group Inc (HCSG)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 556,652 | 571,696 | 508,632 | 546,382 | 572,403 |
| Total current liabilities | US$ in thousands | 192,547 | 216,928 | 178,619 | 191,125 | 162,260 |
| Current ratio | 2.89 | 2.64 | 2.85 | 2.86 | 3.53 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $556,652K ÷ $192,547K
= 2.89
The current ratio of Healthcare Services Group Inc has shown a declining trend over the past five years, decreasing from 3.53 in December 2020 to 2.89 in December 2024. This indicates that the company's ability to cover its short-term obligations with its current assets has weakened slightly over the period. Despite the fluctuations, the current ratio has generally remained above 2, suggesting that Healthcare Services Group Inc has a comfortable liquidity position and is generally able to meet its short-term liabilities with its current assets. However, management should continue to monitor this ratio to ensure the company maintains a healthy balance between current assets and current liabilities.