Old Dominion Freight Line Inc (ODFL)

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	720,683	735,059	807,113	1,263,660	1,143,330	954,216	730,609	896,950	933,740	1,111,200	1,209,090	1,280,960	1,383,790	1,278,850	1,311,120	1,223,260	1,243,340	1,138,500	968,570	831,006
Total current liabilities	US$ in thousands	540,529	553,580	552,754	550,674	544,658	552,350	503,018	569,520	529,793	639,327	628,178	578,596	464,234	534,291	482,018	513,862	373,130	449,288	494,174	428,295
Current ratio		1.33	1.33	1.46	2.29	2.10	1.73	1.45	1.57	1.76	1.74	1.92	2.21	2.98	2.39	2.72	2.38	3.33	2.53	1.96	1.94

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $720,683K ÷ $540,529K
= 1.33

The current ratio of Old Dominion Freight Line Inc has exhibited fluctuations over the period being analyzed. The ratio, which measures the company's ability to meet its short-term obligations with its current assets, was relatively stable in the range of 1.94 to 2.53 from March 2020 to September 2020.

However, there was a significant increase in the current ratio by December 2020, reaching 3.33, indicating the company had more than enough current assets to cover its short-term liabilities at that point. The ratio remained above 2.0 for the following quarters until June 2021, peaking at 2.98 by December 2021.

From March 2022 to June 2024, the current ratio experienced a downward trend, dropping to as low as 1.33 by December 2024. This declining trend could suggest potential liquidity challenges for the company in meeting its short-term obligations with its current assets.

Overall, the current ratio analysis indicates fluctuations in Old Dominion Freight Line Inc's short-term liquidity position over the period, with a notable decrease in recent quarters, raising caution for investors and stakeholders regarding the company's ability to meet its short-term obligations.