RPC Inc (RES)

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	732,842	677,780	696,975	713,334	727,073	686,439	748,335	719,624	703,341	655,122	583,220	517,202	492,010	457,855	446,228	449,641	428,359	430,328	409,103	479,824
Total current liabilities	US$ in thousands	181,913	134,605	151,104	150,036	151,857	140,112	137,099	158,514	178,603	198,244	173,233	139,232	130,849	120,721	96,223	103,547	79,565	93,262	58,814	118,178
Current ratio		4.03	5.04	4.61	4.75	4.79	4.90	5.46	4.54	3.94	3.30	3.37	3.71	3.76	3.79	4.64	4.34	5.38	4.61	6.96	4.06

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $732,842K ÷ $181,913K
= 4.03

The current ratio of RPC Inc has been fluctuating over the past few years. The ratio was relatively high in mid-2020, reaching a peak of 6.96 in June 2020, indicating a strong ability to cover its short-term obligations with current assets. However, the ratio started to decline afterward, reaching a low of 3.30 in September 2022.

Although the current ratio showed some improvement in the following quarters, it remained below the levels seen in mid-2020. This suggests that RPC Inc may have faced challenges in managing its short-term liquidity during this period. The company's ability to meet its short-term obligations with current assets improved slightly towards the end of 2023 and into 2024, with the ratio ranging between 4.03 and 5.46.

Overall, while RPC Inc experienced fluctuations in its current ratio over the period under review, it is essential for the company to closely monitor and manage its liquidity position to ensure it can meet its short-term financial obligations effectively.