Aramark Holdings (ARMK)

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	3,406,560	3,330,370	3,328,420	3,167,420	5,220,030	3,725,880	3,596,560	3,435,140	3,291,990	3,198,040	3,073,150	2,910,670	2,898,860	2,620,920	3,506,510	3,416,100	4,675,810	4,557,140	3,656,340	2,828,910
Total current liabilities	US$ in thousands	4,214,210	3,452,970	2,658,100	2,489,410	5,029,970	2,875,960	2,968,080	2,684,220	3,285,890	2,559,900	2,699,570	2,371,210	2,857,430	2,342,250	2,397,170	2,276,620	2,347,460	2,119,310	2,297,860	2,297,490
Current ratio		0.81	0.96	1.25	1.27	1.04	1.30	1.21	1.28	1.00	1.25	1.14	1.23	1.01	1.12	1.46	1.50	1.99	2.15	1.59	1.23

September 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $3,406,560K ÷ $4,214,210K
= 0.81

The current ratio of Aramark Holdings has fluctuated over the past few years, indicating varying levels of short-term liquidity. As of September 30, 2024, the current ratio stands at 0.81, which is lower compared to previous periods. This suggests that the company may have difficulties covering its short-term obligations with its current assets.

Looking back at the trend, the current ratio has experienced volatility, with some periods showing stronger liquidity positions (e.g., March 31, 2021, and December 31, 2020) while others have shown weaker positions (e.g., September 30, 2022, and September 30, 2020).

It is important to note that a current ratio below 1 indicates that the company may have difficulties meeting its short-term obligations using its current assets. This could raise concerns about the company's ability to manage its short-term financial obligations efficiently. Further analysis of the company's liquidity management and working capital policies may be warranted to understand the underlying factors contributing to the current ratio fluctuations and to assess the overall financial health of Aramark Holdings.