Current Ratio
since 2013
Calculation
T-Mobile US Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2024 | 0.91 | = | 18,404) | ÷ | 20,174) |
| Dec 31, 2023 | 0.91 | = | 19,015) | ÷ | 20,928) |
| Dec 31, 2022 | 0.77 | = | 19,067) | ÷ | 24,742) |
| Dec 31, 2021 | 0.89 | = | 20,891) | ÷ | 23,499) |
| Dec 31, 2020 | 1.10 | = | 23,885) | ÷ | 21,703) |
| Dec 31, 2019 | 0.74 | = | 9,305) | ÷ | 12,506) |
| Dec 31, 2018 | 0.81 | = | 8,281) | ÷ | 10,267) |
| Dec 31, 2017 | 0.77 | = | 8,915) | ÷ | 11,515) |
| Dec 31, 2016 | 1.58 | = | 14,217) | ÷ | 9,022) |
| Dec 31, 2015 | 1.56 | = | 14,890) | ÷ | 9,528) |
| Dec 31, 2014 | 1.59 | = | 13,984) | ÷ | 8,776) |
| Dec 31, 2013 | 2.11 | = | 12,228) | ÷ | 5,808) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
1 US$ in millions
The analysis of the financial data over the period under review reveals notable fluctuations in current assets, current liabilities, and the current ratio, reflecting changes in the company's short-term liquidity position.
- Current Assets
- Current assets showed an overall upward trend from 2013 to 2015, increasing from 12,228 million USD to 14,890 million USD. Subsequently, a decline was observed in 2016 and 2017, dropping sharply to 8,915 million USD, followed by a further decrease to 8,281 million USD in 2018. From 2018 onwards, current assets increased markedly, peaking at 23,885 million USD in 2020, before gradually declining over the next years to 18,404 million USD by 2024.
- Current Liabilities
- Current liabilities demonstrated a consistent upward trajectory throughout most of the period. Starting at 5,808 million USD in 2013, liabilities increased steadily to 12,506 million USD by 2019. A significant surge occurred in 2020, with current liabilities reaching 21,703 million USD. This upward trend continued slightly through 2021 and 2022, peaking at 24,742 million USD, before decreasing to 20,174 million USD in 2024.
- Current Ratio
- The current ratio, a key indicator of short-term financial health, exhibited a declining trend from a strong 2.11 in 2013 to below 1.0 by 2017, hitting a low of 0.74 in 2019. Despite a temporary recovery to 1.10 in 2020, the ratio fell again below 1.0 for the subsequent years, stabilizing at approximately 0.91 in 2023 and 2024. This indicates periods where current liabilities exceeded current assets, reflecting potential liquidity challenges.
Overall, the data suggest the company's short-term liquidity position weakened significantly from 2013 to 2019, despite the occasional improvement in current assets. The spike in current liabilities, particularly in 2020 and afterwards, outpaced growth in current assets, resulting in a current ratio consistently below the ideal threshold of 1.0 in most years following 2016. This trend may warrant closer attention to liquidity management strategies going forward.
Comparison to Competitors
T-Mobile US Inc., current ratio, long-term trends, comparison to competitors
| T-Mobile US Inc. | AT&T Inc. | Verizon Communications Inc. | |
|---|---|---|---|
| Dec 31, 2024 | 0.91 | 0.66 | 0.63 |
| Dec 31, 2023 | 0.91 | 0.71 | 0.69 |
| Dec 31, 2022 | 0.77 | 0.59 | 0.75 |
| Dec 31, 2021 | 0.89 | 0.70 | 0.78 |
| Dec 31, 2020 | 1.10 | 0.82 | 1.38 |
| Dec 31, 2019 | 0.74 | 0.79 | 0.84 |
| Dec 31, 2018 | 0.81 | 0.80 | 0.91 |
| Dec 31, 2017 | 0.77 | 0.97 | 0.91 |
| Dec 31, 2016 | 1.58 | 0.76 | 0.87 |
| Dec 31, 2015 | 1.56 | 0.75 | 0.64 |
| Dec 31, 2014 | 1.59 | 0.86 | 1.06 |
| Dec 31, 2013 | 2.11 | 0.66 | 2.62 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
Comparison to Sector (Telecommunication Services)
T-Mobile US Inc., current ratio, long-term trends, comparison to sector (telecommunication services)
| T-Mobile US Inc. | Telecommunication Services | |
|---|---|---|
| Dec 31, 2024 | 0.91 | 0.68 |
| Dec 31, 2023 | 0.91 | 0.74 |
| Dec 31, 2022 | 0.77 | 0.69 |
| Dec 31, 2021 | 0.89 | 0.75 |
| Dec 31, 2020 | 1.10 | 1.05 |
| Dec 31, 2019 | 0.74 | 0.80 |
| Dec 31, 2018 | 0.81 | 0.84 |
| Dec 31, 2017 | 0.77 | 0.94 |
| Dec 31, 2016 | 1.58 | 0.88 |
| Dec 31, 2015 | 1.56 | 0.79 |
| Dec 31, 2014 | 1.59 | 1.02 |
| Dec 31, 2013 | 2.11 | 1.57 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).
Comparison to Industry (Communication Services)
T-Mobile US Inc., current ratio, long-term trends, comparison to industry (communication services)
| T-Mobile US Inc. | Communication Services | |
|---|---|---|
| Dec 31, 2024 | 0.91 | 1.23 |
| Dec 31, 2023 | 0.91 | 1.29 |
| Dec 31, 2022 | 0.77 | 1.29 |
| Dec 31, 2021 | 0.89 | 1.42 |
| Dec 31, 2020 | 1.10 | 1.74 |
| Dec 31, 2019 | 0.74 | 1.49 |
| Dec 31, 2018 | 0.81 | 1.59 |
| Dec 31, 2017 | 0.77 | 1.65 |
| Dec 31, 2016 | 1.58 | 1.69 |
| Dec 31, 2015 | 1.56 | 1.45 |
| Dec 31, 2014 | 1.59 | 1.62 |
| Dec 31, 2013 | 2.11 | 1.90 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31).