Lumen Technologies Inc (LUMN)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,394,000 | 4,775,000 | 5,420,000 | 11,536,000 | 3,176,000 |
| Total current liabilities | US$ in thousands | 3,639,000 | 3,534,000 | 4,803,000 | 7,169,000 | 6,634,000 |
| Current ratio | 1.21 | 1.35 | 1.13 | 1.61 | 0.48 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,394,000K ÷ $3,639,000K
= 1.21
The current ratio of Lumen Technologies Inc has shown fluctuations over the years. As of December 31, 2020, the current ratio was relatively low at 0.48, indicating that the company may have had difficulties meeting its short-term obligations with its current assets. However, by December 31, 2021, the current ratio improved significantly to 1.61, suggesting that the company's liquidity position strengthened, with ample current assets to cover its current liabilities.
In the following years, the current ratio fluctuated, reaching 1.13 by December 31, 2022, indicating a slight dip in liquidity compared to the previous year. However, by December 31, 2023, the current ratio improved to 1.35, showing a better ability to meet short-term obligations with current assets. By December 31, 2024, the current ratio decreased slightly to 1.21, still indicating a healthy liquidity position overall but potentially warranting attention to ensure ongoing liquidity adequacy.
Overall, the trend in the current ratio of Lumen Technologies Inc reflects both improvements and some fluctuations in liquidity over the years, highlighting the importance of monitoring and managing short-term asset and liability levels to maintain financial stability.
Peer comparison
Dec 31, 2024