Clear Secure Inc (YOU)

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
Total current assets	US$ in thousands	662,218	595,737	713,766	743,635	770,034	781,043	806,545	784,599	741,600	706,484	702,585	668,345	653,078	700,555	233,559	236,470	171,636
Total current liabilities	US$ in thousands	643,054	557,685	633,300	624,777	552,049	478,272	496,766	464,598	397,473	340,584	331,980	290,405	264,591	214,817	163,381	158,154	146,104
Current ratio		1.03	1.07	1.13	1.19	1.39	1.63	1.62	1.69	1.87	2.07	2.12	2.30	2.47	3.26	1.43	1.50	1.17

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $662,218K ÷ $643,054K
= 1.03

Clear Secure Inc's current ratio has fluctuated over the past few years. The current ratio measures the company's ability to cover its short-term liabilities with its current assets.

From December 2020 to March 2021, there was a significant improvement in the current ratio from 1.17 to 1.50, indicating that the company had more current assets to cover its short-term obligations.

However, the current ratio decreased slightly to 1.43 by June 2021 before experiencing a substantial increase to 3.26 by September 2021. This sharp increase suggests that Clear Secure Inc significantly improved its liquidity position by increasing its current assets relative to its current liabilities.

Subsequently, the current ratio decreased gradually but remained above 2 until March 2023, indicating that the company still had a strong ability to meet its short-term obligations.

From March 2023 onwards, the current ratio started to decline more rapidly, falling below 1.5 by December 2023. This decline may indicate potential liquidity challenges for the company as its current assets may not be sufficient to cover its short-term liabilities.

By December 2024, the current ratio further decreased to 1.03, which may raise concerns about Clear Secure Inc's ability to meet its short-term obligations using its current assets effectively.

Overall, the trend in Clear Secure Inc's current ratio shows fluctuations over time, with periods of improvement in liquidity followed by declines. It is important for the company to closely monitor and manage its current assets and liabilities to maintain a healthy liquidity position.