ScanSource Inc (SCSC)
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 | 1,404,700 | 1,416,160 | 1,405,200 | 1,507,440 | 1,657,080 | 1,577,540 | 1,719,060 | 1,587,700 | 1,523,800 | 1,407,830 | 1,334,340 | 1,256,410 | 1,219,640 | 1,117,800 | 1,119,130 | 1,251,880 | 1,203,470 | 1,436,030 | 1,539,330 | 1,549,140 |
| Total current liabilities | US$ in thousands | 669,352 | 643,046 | 610,612 | 701,049 | 786,801 | 744,151 | 836,736 | 794,055 | 814,264 | 800,973 | 746,766 | 692,415 | 732,939 | 622,697 | 689,586 | 838,165 | 719,007 | 770,196 | 832,287 | 805,385 |
| Current ratio | 2.10 | 2.20 | 2.30 | 2.15 | 2.11 | 2.12 | 2.05 | 2.00 | 1.87 | 1.76 | 1.79 | 1.81 | 1.66 | 1.80 | 1.62 | 1.49 | 1.67 | 1.86 | 1.85 | 1.92 |
June 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,404,700K ÷ $669,352K
= 2.10
The current ratio of ScanSource Inc has shown fluctuation over the past several quarters. The current ratio measures the company's ability to cover its short-term obligations with its current assets. A higher current ratio indicates a stronger liquidity position.
From December 2019 to March 2020, the current ratio was relatively stable around 1.85 - 1.92. However, there was a significant increase in the current ratio in the following quarters, reaching a peak of 2.30 in December 2023. This indicates that the company had a strong ability to cover its short-term obligations with its current assets during that period.
Subsequently, the current ratio started to decline gradually, with fluctuations in the range of 2.00 - 2.15 up to June 2024. While the ratio remains above 2.00, which is generally considered a healthy level, the decreasing trend suggests a potential decrease in liquidity or an increase in short-term liabilities relative to current assets.
Overall, the current ratio analysis of ScanSource Inc indicates that the company has maintained a relatively strong liquidity position in recent quarters, but there may be a need to closely monitor the trend to ensure that the company can continue to meet its short-term obligations effectively.
Peer comparison
Jun 30, 2024