Apple Inc (AAPL)
Current ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 152,987,000 | 143,566,000 | 135,405,000 | 134,836,000 | 143,713,000 |
| Total current liabilities | US$ in thousands | 176,392,000 | 145,308,000 | 153,982,000 | 125,481,000 | 105,392,000 |
| Current ratio | 0.87 | 0.99 | 0.88 | 1.07 | 1.36 |
September 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $152,987,000K ÷ $176,392,000K
= 0.87
The current ratio of Apple Inc has exhibited a declining trend over the past five years, indicating a decrease in the company's short-term liquidity position. As of September 30, 2024, the current ratio stands at 0.87, down from 0.99 in the previous year and significantly lower compared to 1.36 in 2020.
A current ratio below 1 suggests that the company may have difficulties meeting its short-term obligations with its current assets alone. This declining trend raises concerns about the company's ability to cover its current liabilities effectively in the near term.
It is essential for Apple Inc to closely monitor and manage its current assets and liabilities to improve its current ratio and enhance its liquidity position. Measures such as optimizing inventory levels, managing accounts receivable efficiently, and controlling short-term liabilities could help the company improve its current ratio in the future.
Peer comparison
Sep 30, 2024