Albertsons Companies (ACI)
Current ratio
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 6,559,000 | 6,665,500 | 6,646,600 | 6,207,900 | 6,287,500 | 6,661,900 | 6,421,600 | 6,060,600 | 6,270,400 | 10,685,700 | 9,264,600 | 8,678,200 | 8,366,400 | 8,379,700 | 7,988,300 | 7,377,500 | 6,988,000 | 7,444,200 | 7,578,600 | 7,132,800 |
| Total current liabilities | US$ in thousands | 7,251,000 | 7,155,100 | 7,422,400 | 7,066,000 | 7,457,700 | 7,857,500 | 7,923,500 | 7,723,100 | 8,428,800 | 13,309,000 | 8,244,500 | 7,912,300 | 8,348,500 | 7,461,200 | 7,069,700 | 6,704,200 | 6,832,200 | 6,597,300 | 6,727,700 | 6,750,300 |
| Current ratio | 0.90 | 0.93 | 0.90 | 0.88 | 0.84 | 0.85 | 0.81 | 0.78 | 0.74 | 0.80 | 1.12 | 1.10 | 1.00 | 1.12 | 1.13 | 1.10 | 1.02 | 1.13 | 1.13 | 1.06 |
February 28, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $6,559,000K ÷ $7,251,000K
= 0.90
The analysis of Albertsons Companies' current ratio over the specified period indicates fluctuations in short-term liquidity position. Initially, the ratio was around 1.06 as of May 31, 2020, implying a relatively balanced ability to cover current liabilities with current assets. The ratio experienced a modest increase, peaking at approximately 1.13 during late 2020 and early 2021, which suggests a stable position with a slight surplus of current assets over current liabilities.
Throughout 2021, the current ratio remained relatively stable, fluctuating slightly above 1.10, indicating consistent liquidity management. However, a noticeable decline commenced in late 2021 and into 2022, with the ratio decreasing to around 1.00 by February 28, 2022, reflecting a potential tightening of liquidity. This downward trend continued into 2022, with the ratio reaching a low of 0.74 on February 28, 2023, signifying that current liabilities exceeded current assets at that time.
Subsequently, the ratio displayed signs of improvement, rising to approximately 0.88 as of May 31, 2023, and continuing a gradual upward trajectory through late 2024, with ratios approaching 0.90 by the end of the period. The increasing trend suggests an enhancement in the company's short-term liquidity positions, although the ratio remains below 1.0, indicating that current liabilities generally surpass current assets during this timeframe.
Overall, the current ratio demonstrates a period of stability in the initial years, followed by a significant decline, and a subsequent recovery trend in recent periods. The continued below-one ratios imply potential liquidity concerns, highlighting the importance for Albertsons Companies to manage its current assets and liabilities to ensure sufficient liquidity to meet short-term obligations.
Peer comparison
Feb 28, 2025