KAR Auction Services Inc (KAR)

Current ratio

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total current assets	US$ in thousands	2,841,900	2,940,800	3,084,100	3,075,000	3,022,400	3,202,900	3,996,500	5,505,000	3,391,800	3,528,200	3,414,600	3,525,500	3,175,200	3,674,600	3,251,100	2,712,900	3,244,500	3,257,700	3,048,900	3,460,200
Total current liabilities	US$ in thousands	2,478,800	2,508,700	2,646,200	2,666,400	2,643,200	2,820,400	3,547,900	4,481,800	3,009,300	2,756,700	2,683,300	2,656,000	2,250,600	2,354,500	2,009,300	2,018,800	2,517,700	2,516,200	2,668,400	2,945,600
Current ratio		1.15	1.17	1.17	1.15	1.14	1.14	1.13	1.23	1.13	1.28	1.27	1.33	1.41	1.56	1.62	1.34	1.29	1.29	1.14	1.17

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,841,900K ÷ $2,478,800K
= 1.15

The current ratio for Openlane Inc. has shown consistency over the past eight quarters, ranging from 1.13 to 1.21. A current ratio above 1 indicates that the company has more current assets than current liabilities, suggesting the ability to meet its short-term obligations.

The Q2 and Q3 of 2023, as well as Q1 of 2022, reported a current ratio of 1.17, reflecting a strong liquidity position. However, there was a slight dip to 1.14 in Q4 2022. Notably, the fluctuation in the current ratio has been relatively small, indicating a stable working capital structure.

Overall, the current ratio of Openlane Inc. has been healthy and consistent, demonstrating the company's ability to manage its short-term financial obligations effectively. However, it is essential to monitor this ratio over time to ensure continued financial stability and liquidity.