Warner Bros Discovery Inc (WBD)

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	14,078,000	12,505,000	13,430,000	13,902,000	14,218,000	12,831,000	13,773,000	13,727,000	13,999,000	12,672,000	15,449,000	7,173,000	7,264,000	6,656,000	6,728,000	5,865,000	6,130,000	5,478,000	4,717,000	4,626,000
Total current liabilities	US$ in thousands	15,810,000	15,695,000	17,768,000	16,956,000	15,332,000	14,588,000	16,906,000	16,380,000	15,017,000	14,676,000	14,436,000	3,562,000	3,459,000	3,335,000	3,565,000	3,142,000	3,082,000	2,756,000	2,576,000	2,875,000
Current ratio		0.89	0.80	0.76	0.82	0.93	0.88	0.81	0.84	0.93	0.86	1.07	2.01	2.10	2.00	1.89	1.87	1.99	1.99	1.83	1.61

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $14,078,000K ÷ $15,810,000K
= 0.89

Warner Bros Discovery Inc's current ratio has shown fluctuations over the past few years. The current ratio measures the company's ability to meet its short-term obligations using its current assets. From March 31, 2020, to December 31, 2021, the current ratio steadily increased from 1.61 to 2.10, indicating a strengthening liquidity position.

However, there was a notable decline in the current ratio from June 30, 2022, to June 30, 2024, dropping to as low as 0.76. This decline may suggest potential issues in the company's ability to cover its short-term liabilities with its current assets during these periods.

It is important for Warner Bros Discovery Inc to closely monitor its current ratio, as a declining trend could signal liquidity challenges that need to be addressed. Maintaining a healthy current ratio is essential for ensuring the company's ability to meet its short-term financial obligations and operate efficiently.