SanDisk Corp (SNDK)
Current ratio
| Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | Mar 31, 2013 | Dec 31, 2012 | Sep 30, 2012 | Jun 30, 2012 | Mar 31, 2012 | Dec 31, 2011 | Sep 30, 2011 | Jun 30, 2011 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 6,153,380 | 5,659,790 | 3,613,650 | 3,657,360 | 3,752,990 | 4,200,120 | 4,354,130 | 4,614,710 | 4,508,020 | 4,650,720 | 3,947,900 | 4,294,880 | 4,850,860 | 4,355,960 | 4,318,630 | 4,136,880 | 4,084,550 | 4,032,690 | 3,972,800 | 3,907,480 |
| Total current liabilities | US$ in thousands | 3,692,610 | 2,003,480 | 1,139,010 | 2,037,060 | 2,090,680 | 2,190,880 | 2,214,950 | 1,956,780 | 1,878,400 | 1,230,580 | 1,192,650 | 1,107,980 | 1,873,090 | 1,881,670 | 1,896,910 | 1,824,400 | 904,131 | 960,107 | 1,142,380 | 1,026,700 |
| Current ratio | 1.67 | 2.82 | 3.17 | 1.80 | 1.80 | 1.92 | 1.97 | 2.36 | 2.40 | 3.78 | 3.31 | 3.88 | 2.59 | 2.31 | 2.28 | 2.27 | 4.52 | 4.20 | 3.48 | 3.81 |
March 31, 2016 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $6,153,380K ÷ $3,692,610K
= 1.67
SanDisk Corp's current ratio has fluctuated over the given period. The current ratio indicates the company's ability to cover its short-term liabilities with its short-term assets.
Between June 2011 and March 2013, the current ratio consistently remained above 3, indicating a healthy liquidity position. This implies that SanDisk had more than enough current assets to cover its short-term obligations during this period.
However, from March 2013 to December 2014, the current ratio decreased significantly, falling below 2 at certain points. This could suggest potential liquidity concerns as the company may have had difficulty in meeting its short-term financial obligations with its current assets.
The current ratio slightly improved in September 2015 and December 2015, indicating a better liquidity position. However, by March 2016, the current ratio dropped again to 1.67, which is considered relatively low and may raise concerns about the company's ability to cover its short-term liabilities.
Overall, SanDisk Corp's current ratio has shown both strengths and weaknesses in managing its short-term liquidity over the analyzed period. It would be important for the company to monitor and improve its current ratio to ensure it can comfortably meet its short-term obligations.