Tenet Healthcare Corporation (THC)
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 | 7,682,000 | 8,759,000 | 7,955,000 | 7,821,000 | 7,167,000 | 6,359,000 | 5,995,000 | 5,869,000 | 5,981,000 | 5,998,000 | 6,064,000 | 6,128,000 | 7,075,000 | 6,905,000 | 7,417,000 | 6,699,000 | 7,147,000 | 7,808,000 | 7,947,000 | 5,388,000 |
| Total current liabilities | US$ in thousands | 4,310,000 | 5,538,000 | 5,493,000 | 5,416,000 | 4,760,000 | 4,432,000 | 4,152,000 | 4,219,000 | 4,476,000 | 4,276,000 | 4,368,000 | 4,668,000 | 5,109,000 | 5,379,000 | 5,071,000 | 4,930,000 | 4,847,000 | 5,843,000 | 5,585,000 | 4,095,000 |
| Current ratio | 1.78 | 1.58 | 1.45 | 1.44 | 1.51 | 1.43 | 1.44 | 1.39 | 1.34 | 1.40 | 1.39 | 1.31 | 1.38 | 1.28 | 1.46 | 1.36 | 1.47 | 1.34 | 1.42 | 1.32 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $7,682,000K ÷ $4,310,000K
= 1.78
Tenet Healthcare Corporation's current ratio has exhibited fluctuations over the period from March 31, 2020, to December 31, 2024. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, started at 1.32 on March 31, 2020, and generally increased over time. Notable increases were observed at the end of December 2021, December 2023, and December 2024, where the current ratios were 1.47, 1.51, and 1.78, respectively.
These improvements indicate that Tenet Healthcare Corporation has been able to enhance its liquidity position and better cover its short-term liabilities with its current assets. A higher current ratio suggests a stronger ability to meet its financial obligations and indicates a lower risk of financial distress.
However, it is essential to note that the current ratio saw some minor fluctuations during the period, possibly influenced by changes in current assets and liabilities. Analyzing the trend and the underlying reasons for these fluctuations can provide further insights into the company's financial health and management of its working capital.
Peer comparison
Dec 31, 2024