Take-Two Interactive Software Inc (TTWO)

Current ratio

		Mar 31, 2025	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
Total current assets	US$ in thousands	2,815,900	2,401,300	2,705,700	2,559,000	2,259,700	2,218,500	2,536,800	2,255,000	2,508,100	2,606,700	3,251,100	3,036,000	3,871,100	3,705,010	4,243,460	4,013,610	4,220,520	4,159,960	3,932,100	3,686,930
Total current liabilities	US$ in thousands	3,615,800	2,895,100	3,200,500	2,846,300	2,406,400	2,692,400	3,000,100	2,738,000	3,851,600	3,009,800	3,467,000	3,286,700	2,104,960	2,072,340	2,566,870	2,165,330	2,234,720	2,341,790	2,325,840	2,148,740
Current ratio		0.78	0.83	0.85	0.90	0.94	0.82	0.85	0.82	0.65	0.87	0.94	0.92	1.84	1.79	1.65	1.85	1.89	1.78	1.69	1.72

March 31, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,815,900K ÷ $3,615,800K
= 0.78

Take-Two Interactive Software Inc's current ratio has fluctuated over the periods indicated, ranging from 0.65 to 1.89. The current ratio measures the company's ability to cover its short-term obligations with its short-term assets. A current ratio above 1 indicates that the company has more current assets than current liabilities, which is generally considered a good sign.

From June 30, 2020, to March 31, 2022, the current ratio consistently remained above 1, indicating that Take-Two had a strong ability to meet its short-term obligations. However, there was a notable decline in the current ratio from June 30, 2022, to March 31, 2025, with the ratio dropping below 1. This suggests that Take-Two may have had challenges in meeting its short-term liabilities with its current assets during these periods.

Overall, a current ratio of less than 1 implies that Take-Two may have had difficulty meeting its short-term obligations with its current assets in more recent periods. Investors and analysts may want to further investigate the reasons behind the declining current ratio to assess the company's liquidity and financial health accurately.