Progress Software Corporation (PRGS)

Current ratio

		Nov 30, 2024	Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020
Total current assets	US$ in thousands	368,813	388,557	342,983	297,256	330,788	302,840	281,082	292,701	426,053	364,434	355,869	342,622	337,808	508,897	470,968	239,309	238,935	320,206	291,398	274,738
Total current liabilities	US$ in thousands	455,145	314,908	307,221	312,208	352,118	324,703	323,494	337,157	318,004	279,683	284,229	283,730	322,929	271,608	266,077	265,740	262,543	227,691	225,172	230,722
Current ratio		0.81	1.23	1.12	0.95	0.94	0.93	0.87	0.87	1.34	1.30	1.25	1.21	1.05	1.87	1.77	0.90	0.91	1.41	1.29	1.19

November 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $368,813K ÷ $455,145K
= 0.81

Progress Software Corporation's current ratio has shown fluctuations over the past few years. The current ratio measures the company's ability to cover its short-term liabilities with its current assets.

From February 2020 to August 2021, the current ratio steadily increased from 1.19 to 1.87, indicating an improvement in the company's short-term liquidity position. However, there was a notable decline in the ratio in the following periods, dropping to 0.87 by May 2023. This decrease suggests a potential strain on the company's ability to meet its short-term obligations with its current assets during that period.

Subsequently, there was a slight improvement in the current ratio, reaching 1.23 by August 2024. While the ratio has shown some volatility, it is essential for investors and stakeholders to monitor the company's current ratio to assess its liquidity position and ability to manage short-term financial obligations effectively.