Adient PLC (ADNT)
Current ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 4,086,000 | 3,999,000 | 4,125,000 | 4,074,000 | 4,316,000 | 4,406,000 | 4,269,000 | 4,087,000 | 4,163,000 | 4,062,000 | 4,317,000 | 5,091,000 | 5,086,000 | 4,114,000 | 4,090,000 | 4,496,000 | 4,482,000 | 3,459,000 | 4,276,000 | 3,799,000 |
| Total current liabilities | US$ in thousands | 3,678,000 | 3,686,000 | 3,658,000 | 3,548,000 | 3,738,000 | 3,720,000 | 3,671,000 | 3,418,000 | 3,501,000 | 3,387,000 | 3,658,000 | 3,742,000 | 3,511,000 | 3,631,000 | 3,661,000 | 3,584,000 | 3,819,000 | 3,083,000 | 4,223,000 | 3,683,000 |
| Current ratio | 1.11 | 1.08 | 1.13 | 1.15 | 1.15 | 1.18 | 1.16 | 1.20 | 1.19 | 1.20 | 1.18 | 1.36 | 1.45 | 1.13 | 1.12 | 1.25 | 1.17 | 1.12 | 1.01 | 1.03 |
September 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $4,086,000K ÷ $3,678,000K
= 1.11
The current ratio of Adient PLC has shown fluctuation over the past few quarters. As of September 30, 2024, the current ratio stands at 1.11, indicating that the company's current assets are slightly above its current liabilities. The ratio was relatively stable around 1.15 in the previous quarters but has shown a slight decrease in the latest period.
The current ratio is an important liquidity measure as it assesses the company's ability to meet its short-term obligations with its current assets. A ratio above 1 suggests the company can cover its short-term liabilities with its current assets. Adient PLC's current ratio has generally been above 1 over the past few years, indicating a relatively healthy liquidity position.
It is worth noting that the current ratio has been trending downwards since the peak of 1.45 in March 2021. A declining current ratio could indicate potential difficulties in meeting short-term obligations if the trend continues. However, this would need to be further analyzed in conjunction with other financial metrics and factors affecting the company's operations.
Overall, while the current ratio of Adient PLC has displayed some variability, it remains above 1, suggesting the company has the ability to cover its short-term liabilities with its current assets, albeit with a slight decline in recent periods.
Peer comparison
Sep 30, 2024