PDF Solutions Inc (PDFS)

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	205,979	191,395	190,858	185,016	197,848	194,324	204,353	193,141	193,408	180,529	163,775	180,852	188,507	185,209	182,037	178,446	193,380	218,067	140,734	149,376
Total current liabilities	US$ in thousands	60,542	57,730	55,464	51,796	50,843	49,918	52,077	54,262	58,200	52,402	41,794	42,569	43,826	41,139	40,170	35,101	42,205	32,876	21,880	27,064
Current ratio		3.40	3.32	3.44	3.57	3.89	3.89	3.92	3.56	3.32	3.45	3.92	4.25	4.30	4.50	4.53	5.08	4.58	6.63	6.43	5.52

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $205,979K ÷ $60,542K
= 3.40

The current ratio of PDF Solutions Inc has exhibited some fluctuation over the period provided. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, was relatively strong, ranging from 3.32 to 6.63 between December 31, 2020, and September 30, 2022. However, there has been a downward trend in recent periods, with the current ratio declining to 3.40 by December 31, 2024.

This decreasing trend indicates that PDF Solutions Inc may be facing challenges in maintaining a sufficient level of current assets to meet its short-term obligations. A current ratio below 1 may indicate financial difficulties, although the company's current ratios remain above this critical threshold. It is important for the company to closely monitor its liquidity position to ensure it can meet its short-term financial obligations in a timely manner.