Upbound Group Inc. (UPBD)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 66,382 | 100,103 | 151,129 | 114,738 | 164,888 |
| Total current liabilities | US$ in thousands | 388,462 | 607,430 | 445,168 | 369,899 | 388,116 |
| Current ratio | 0.17 | 0.16 | 0.34 | 0.31 | 0.42 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $66,382K ÷ $388,462K
= 0.17
The current ratio of Upbound Group Inc. has shown a declining trend over the past five years. As of December 31, 2020, the company had a current ratio of 0.42, indicating that it had $0.42 in current assets for every $1 in current liabilities. However, this ratio decreased to 0.31 by December 31, 2021, and further to 0.34 by December 31, 2022.
The company's current ratio took a significant dip to 0.16 by December 31, 2023, suggesting that it may be facing challenges in meeting its short-term obligations with its current assets alone. Although there was a slight improvement to 0.17 by December 31, 2024, the ratio still remains low compared to the industry average.
This declining trend in the current ratio indicates potential liquidity issues for Upbound Group Inc. It may struggle to cover its short-term liabilities using its current assets, which could pose risks in meeting its financial obligations in a timely manner. Monitoring and improving the current ratio will be essential for the company to ensure financial health and stability moving forward.
Peer comparison
Dec 31, 2024