SolarWinds Corp (SWI)

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	282,834	442,619	421,327	361,096	330,679	314,019	307,393	635,286	885,974	873,351	858,840	820,480	544,363	530,410	512,733	563,109	459,078	385,717	319,899	348,109
Total current liabilities	US$ in thousands	454,835	625,760	468,808	435,518	436,479	430,339	456,633	433,361	411,991	410,691	413,877	406,568	446,873	469,159	491,204	445,397	432,800	425,324	423,013	390,265
Current ratio		0.62	0.71	0.90	0.83	0.76	0.73	0.67	1.47	2.15	2.13	2.08	2.02	1.22	1.13	1.04	1.26	1.06	0.91	0.76	0.89

June 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $282,834K ÷ $454,835K
= 0.62

The current ratio of SolarWinds Corp has fluctuated over the past few quarters, indicating varying levels of liquidity and short-term solvency. As of June 30, 2024, the current ratio stood at 0.62, suggesting that the company may have difficulty meeting its short-term obligations with its current assets alone.

Comparing this to previous quarters, the current ratio has generally been in a downward trend since reaching a peak of 2.15 on June 30, 2022. This decline may raise concerns about the company's ability to cover its current liabilities using its current assets efficiently.

It is worth noting that the current ratio exceeding 1.0 indicates that the company has more current assets than current liabilities, but the current ratio should ideally be higher to ensure a comfortable margin of safety. However, a significantly high current ratio could also imply that the company is not efficiently utilizing its assets.

Overall, SolarWinds Corp's current ratio has shown volatility, and further analysis of its components and the overall financial health of the company would be necessary to provide a more comprehensive assessment of its liquidity position.