Warner Music Group (WMG)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,450,000 | 2,616,000 | 2,402,000 | 2,317,000 | 2,212,000 | 2,340,000 | 2,139,000 | 1,901,000 | 1,912,000 | 2,021,000 | 1,896,000 | 1,734,000 | 1,756,000 | 1,828,000 | 1,678,000 | 1,582,000 | 1,583,000 | 1,656,000 | 1,691,000 | 1,580,000 |
| Total current liabilities | US$ in thousands | 3,533,000 | 3,745,000 | 3,539,000 | 3,290,000 | 3,187,000 | 3,341,000 | 3,368,000 | 3,123,000 | 3,131,000 | 3,357,000 | 3,150,000 | 2,902,000 | 2,784,000 | 2,890,000 | 2,720,000 | 2,525,000 | 2,732,000 | 2,799,000 | 2,819,000 | 2,544,000 |
| Current ratio | 0.69 | 0.70 | 0.68 | 0.70 | 0.69 | 0.70 | 0.64 | 0.61 | 0.61 | 0.60 | 0.60 | 0.60 | 0.63 | 0.63 | 0.62 | 0.63 | 0.58 | 0.59 | 0.60 | 0.62 |
March 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,450,000K ÷ $3,533,000K
= 0.69
Warner Music Group's current ratio has shown some fluctuations over the past few quarters. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. Looking at the data provided, the current ratio has ranged from 0.58 to 0.70 over the past few quarters.
The current ratio decreased from 0.70 in December 2023 to 0.69 in March 2024, indicating a slight decrease in the company's short-term liquidity position. However, this ratio has generally remained within a narrow range, showing relative stability in the company's ability to meet its short-term obligations.
It is worth noting that the current ratio has generally been below 1, which may suggest that Warner Music Group may have some difficulty in covering its short-term liabilities with its current assets alone. This could be an area of concern as a current ratio below 1 may indicate potential liquidity issues in the future.
Overall, Warner Music Group's current ratio analysis suggests that while the company has been able to maintain a relatively stable liquidity position in the short term, monitoring and managing its current assets and liabilities effectively will be crucial to ensure financial health and stability moving forward.
Peer comparison
Mar 31, 2024