Ziff Davis Inc (ZD)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,272,070 | 1,190,990 | 1,084,270 | 1,300,670 | 622,843 |
| Total current liabilities | US$ in thousands | 899,647 | 431,833 | 432,448 | 497,238 | 882,555 |
| Current ratio | 1.41 | 2.76 | 2.51 | 2.62 | 0.71 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,272,070K ÷ $899,647K
= 1.41
The current ratio of Ziff Davis Inc has shown significant fluctuations over the past five years. In December 31, 2020, the current ratio was observed to be 0.71, indicating that the company may have had challenges meeting its short-term obligations with its current assets. However, the trend shifted in subsequent years with the current ratio improving to 2.62 in December 31, 2021, reflecting a substantial increase in the company's ability to cover its short-term liabilities with its current assets.
The current ratio continued to demonstrate stability in the following years, standing at 2.51 in December 31, 2022, and further improving to 2.76 in December 31, 2023, suggesting the company's strengthened liquidity position and enhanced capacity to meet its short-term financial obligations.
However, there was a notable decline in the current ratio to 1.41 in December 31, 2024, indicating a potential concern regarding the company's ability to cover its upcoming short-term liabilities with its current assets. It might be advisable for Ziff Davis Inc to monitor its current assets and liabilities closely to ensure a healthy current ratio in the future.