Viavi Solutions Inc (VIAV)
Current ratio
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 885,200 | 876,500 | 945,000 | 1,005,100 | 1,112,100 |
| Total current liabilities | US$ in thousands | 589,700 | 247,100 | 343,500 | 369,300 | 747,400 |
| Current ratio | 1.50 | 3.55 | 2.75 | 2.72 | 1.49 |
June 30, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $885,200K ÷ $589,700K
= 1.50
The current ratio of Viavi Solutions Inc. demonstrates a notable upward trend from June 30, 2021, through June 30, 2024, followed by a significant decline by June 30, 2025. Specifically, the current ratio increased from 1.49 in 2021 to 2.72 in 2022, indicating improved short-term liquidity position and an increased ability to cover its current liabilities with its current assets. This upward trajectory continued into 2023, reaching a ratio of 2.75, reflecting further strengthening of liquidity. The ratio then accelerated to 3.55 in 2024, which suggests a substantial improvement in liquidity, with current assets significantly exceeding current liabilities.
However, in the subsequent year, a sharp decline occurs, with the current ratio dropping to 1.50 in 2025. This decrease indicates a reduction in the company's short-term liquidity buffer, although it remains above 1.0, suggesting that the company still maintains a sufficient margin to satisfy its short-term obligations, albeit with less of a cushion compared to the previous year.
Overall, the pattern indicates that Viavi Solutions experienced a period of strengthening liquidity over the span from 2021 to 2024, followed by a contraction in liquidity in 2025. Such movements might be attributable to changes in current assets or current liabilities over these periods and warrant further analysis to understand the underlying operational and financial factors influencing this ratio.
Peer comparison
Jun 30, 2025