Super Micro Computer Inc (SMCI)

Current ratio

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Total current assets	US$ in thousands	8,931,960	3,179,430	2,806,320	1,867,260	1,592,760
Total current liabilities	US$ in thousands	2,345,720	1,374,650	1,470,020	968,896	707,635
Current ratio		3.81	2.31	1.91	1.93	2.25

June 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $8,931,960K ÷ $2,345,720K
= 3.81

The current ratio of Super Micro Computer Inc has shown fluctuations over the past five years. As of June 30, 2020, the current ratio was 2.25, indicating that the company had $2.25 in current assets for every $1 in current liabilities. However, this ratio decreased to 1.93 by June 30, 2021, suggesting a potential tightening of liquidity or increased short-term obligations relative to current assets.

By June 30, 2022, the current ratio further declined to 1.91, possibly signaling a prolonged trend of weakening liquidity position or challenges in managing short-term obligations. However, there was a notable improvement by June 30, 2023, with the current ratio increasing to 2.31, indicating a better ability to cover short-term liabilities with current assets.

The most significant change occurred by June 30, 2024, where the current ratio spiked to 3.81, reflecting a substantial increase in liquidity and the company's ability to meet short-term obligations comfortably. Overall, while the current ratio of Super Micro Computer Inc has demonstrated variability, the latest data point suggests a strengthened liquidity position and improved ability to cover short-term liabilities with current assets.