Talos Energy (TALO)

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 659,383 655,556 565,783 540,911 422,175 411,588 440,172 411,103 367,829 371,978 475,485 401,806 340,003 253,728 304,216 291,999 247,392 256,441 369,708 502,301
Total current liabilities US$ in thousands 723,055 677,887 711,639 696,862 578,615 629,799 691,882 671,192 607,058 556,328 701,336 705,594 600,526 635,832 674,744 482,237 447,534 434,424 407,878 308,754
Current ratio 0.91 0.97 0.80 0.78 0.73 0.65 0.64 0.61 0.61 0.67 0.68 0.57 0.57 0.40 0.45 0.61 0.55 0.59 0.91 1.63

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $659,383K ÷ $723,055K
= 0.91

The current ratio of Talos Energy has exhibited fluctuations over the periods provided. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, saw a decline from 1.63 on March 31, 2020, to 0.40 on September 30, 2021. This significant drop indicates a potential liquidity concern and may signal difficulties in meeting short-term obligations.

However, the ratio started to improve after this low point, reaching 0.97 on September 30, 2024. A current ratio above 1 implies that the company has more current assets than current liabilities, which is generally considered favorable from a liquidity standpoint. Nevertheless, it is essential to monitor the trend of the current ratio over time to assess the company's liquidity position accurately and ensure it can meet its short-term obligations effectively.