OSI Systems Inc (OSIS)

Current ratio

		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	Dec 31, 2019	Sep 30, 2019
Total current assets	US$ in thousands	1,215,520	1,119,250	1,003,080	872,099	839,903	778,534	767,435	771,044	746,144	758,536	769,790	730,210	709,404	661,410	634,424	614,793	617,709	638,370	648,289	637,136
Total current liabilities	US$ in thousands	814,637	761,682	700,391	611,628	571,694	550,413	538,242	562,481	613,954	645,836	694,455	656,788	344,767	326,069	333,393	333,937	330,101	375,962	383,936	394,702
Current ratio		1.49	1.47	1.43	1.43	1.47	1.41	1.43	1.37	1.22	1.17	1.11	1.11	2.06	2.03	1.90	1.84	1.87	1.70	1.69	1.61

June 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,215,520K ÷ $814,637K
= 1.49

The current ratio of OSI Systems Inc has been fluctuating over the past several quarters. The ratio was 1.49 as of June 30, 2024, indicating that the company had $1.49 in current assets for every $1 in current liabilities. This was slightly higher than the previous quarter's ratio of 1.47.

Looking at the trend over the past few quarters, the current ratio has generally been in the range of 1.40 to 1.50, indicating that the company has had a sufficient level of current assets to cover its current liabilities. However, there was a notable decrease in the ratio in the earlier quarters of 2022, with ratios below 1.30. This suggests that there may have been a temporary strain on liquidity during that period.

It is important to note that a current ratio above 1.0 generally indicates that a company has more current assets than current liabilities, which can be a positive sign of financial health and liquidity. However, a very high current ratio may also suggest that the company is not efficiently using its current assets to generate revenue.

Overall, the current ratio of OSI Systems Inc has generally been within a healthy range, but investors and analysts should continue to monitor the trend to ensure ongoing liquidity and financial stability.