Viper Energy Ut (VNOM)

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	238,044	320,180	205,384	189,820	143,517	262,130	105,794	133,270	118,620	124,290	139,857	136,702	111,149	111,324	88,770	59,544	53,994	54,764	43,180	79,341
Total current liabilities	US$ in thousands	48,694	44,208	29,091	54,885	33,256	47,491	28,079	29,771	21,946	25,081	26,842	37,104	24,466	61,565	68,960	62,855	44,898	44,189	46,406	24,309
Current ratio		4.89	7.24	7.06	3.46	4.32	5.52	3.77	4.48	5.41	4.96	5.21	3.68	4.54	1.81	1.29	0.95	1.20	1.24	0.93	3.26

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $238,044K ÷ $48,694K
= 4.89

The current ratio of Viper Energy Ut has exhibited fluctuations over the past few years, ranging from a low of 0.93 on June 30, 2020, to a high of 7.24 on September 30, 2024. A current ratio below 1 indicates that the company may have difficulties meeting its short-term obligations with its current assets alone.

However, the current ratio has generally trended upwards since the low point in June 30, 2020, showing an improving ability to cover its short-term liabilities. The current ratio exceeded 1 consistently from June 30, 2021, onwards, indicating that the company has had more current assets than current liabilities to meet its short-term obligations during this period.

The significant increase in the current ratio from December 31, 2021, to June 30, 2022, and then a slight decline by September 30, 2022, suggests some fluctuations in the company's current asset and current liability levels.

Overall, the current ratio has displayed volatility over the years, but the company seems to have strengthened its short-term liquidity position as reflected in the upward trend. However, it is important to monitor future financial statements to ensure continued improvement in liquidity management.