Autoliv Inc (ALV)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 3,483,000 | 3,974,000 | 3,714,000 | 3,675,000 | 4,269,000 |
| Total current liabilities | US$ in thousands | 3,633,000 | 4,035,000 | 3,642,000 | 2,821,000 | 3,146,900 |
| Current ratio | 0.96 | 0.98 | 1.02 | 1.30 | 1.36 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $3,483,000K ÷ $3,633,000K
= 0.96
Autoliv Inc's current ratio has shown a downward trend over the past five years, decreasing from 1.36 in December 2020 to 0.96 in December 2024. This indicates that the company's ability to meet its short-term financial obligations with its current assets has weakened. A current ratio below 1 suggests that the company may have difficulty covering its short-term liabilities with its current assets alone. Autoliv Inc may need to closely monitor its liquidity position and take steps to improve its current ratio to ensure financial stability and solvency in the future.
Peer comparison
Dec 31, 2024