Zimmer Biomet Holdings Inc (ZBH)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,671,500 | 4,609,500 | 4,427,300 | 4,885,000 | 5,083,300 |
| Total current liabilities | US$ in thousands | 2,450,900 | 2,857,400 | 2,358,200 | 3,467,900 | 2,556,900 |
| Current ratio | 1.91 | 1.61 | 1.88 | 1.41 | 1.99 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,671,500K ÷ $2,450,900K
= 1.91
The current ratio of Zimmer Biomet Holdings Inc has exhibited variability over the past five years. As of December 31, 2020, the current ratio stood at 1.99, indicating the company had $1.99 in current assets for every $1 in current liabilities. Subsequently, there was a decrease in the current ratio to 1.41 by the end of December 31, 2021, potentially suggesting a tighter liquidity position.
However, the current ratio improved to 1.88 by December 31, 2022, signaling an increase in the company's ability to meet its short-term obligations. This positive trend was followed by a slight decrease in the current ratio to 1.61 as of December 31, 2023, indicating a potential temporary strain on liquidity.
By the end of December 31, 2024, Zimmer Biomet Holdings Inc's current ratio rebounded to 1.91, demonstrating a strengthened liquidity position compared to the previous year. Overall, while the company experienced fluctuations in its current ratio during the period under review, it generally maintained a healthy level of current assets relative to current liabilities, ensuring its ability to cover short-term obligations.
Peer comparison
Dec 31, 2024