Quanta Services Inc (PWR)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 7,851,030 | 7,676,900 | 5,536,070 | 4,732,580 | 3,588,390 |
| Total current liabilities | US$ in thousands | 6,028,510 | 5,213,120 | 3,406,190 | 3,164,960 | 2,138,560 |
| Current ratio | 1.30 | 1.47 | 1.63 | 1.50 | 1.68 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $7,851,030K ÷ $6,028,510K
= 1.30
Quanta Services Inc's current ratio has experienced fluctuations over the past five years. The ratio stood at 1.68 as of December 31, 2020, indicating that the company had $1.68 in current assets for every $1 in current liabilities. However, by December 31, 2024, the current ratio had decreased to 1.30.
A current ratio above 1.0 typically suggests that a company is able to cover its short-term liabilities with its current assets. In Quanta Services Inc's case, the downward trend in the current ratio may indicate potential liquidity challenges or an increase in short-term debt relative to current assets.
Overall, it is important for Quanta Services Inc to closely monitor its current ratio to ensure it maintains a healthy balance between current assets and current liabilities to meet its short-term obligations effectively.
Peer comparison
Dec 31, 2024