Ashland Global Holdings Inc (ASH)
Current ratio
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,365,000 | 1,506,000 | 1,526,000 | 1,631,000 | 1,724,000 | 1,768,000 | 1,817,000 | 2,025,000 | 1,734,000 | 1,717,000 | 1,235,000 | 1,418,000 | 1,381,000 | 1,547,000 | 1,670,000 | 1,645,000 | 1,344,000 | 1,433,000 | 2,037,000 | 2,087,000 |
| Total current liabilities | US$ in thousands | 414,000 | 456,000 | 432,000 | 472,000 | 464,000 | 553,000 | 550,000 | 810,000 | 908,000 | 934,000 | 602,000 | 569,000 | 585,000 | 813,000 | 937,000 | 972,000 | 688,000 | 757,000 | 1,007,000 | 920,000 |
| Current ratio | 3.30 | 3.30 | 3.53 | 3.46 | 3.72 | 3.20 | 3.30 | 2.50 | 1.91 | 1.84 | 2.05 | 2.49 | 2.36 | 1.90 | 1.78 | 1.69 | 1.95 | 1.89 | 2.02 | 2.27 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,365,000K ÷ $414,000K
= 3.30
The current ratio measures a company's ability to meet its short-term obligations using its current assets. Ashland Inc's current ratio has shown variations over the past several quarters.
In the most recent period, the current ratio stood at 3.30, indicating that Ashland Inc had $3.30 in current assets for every $1 of current liabilities. This suggests that the company had a healthy liquidity position to meet its short-term obligations.
Looking at the trend over the past eight quarters, we observe some fluctuations. The ratio was relatively stable around the 3.3 to 3.5 range from December 2022 to September 2023, indicating consistent short-term liquidity. However, there was a notable decrease in the current ratio to 2.50 in March 2022, which may raise concerns about the company's ability to cover short-term obligations using its current assets during that period.
Overall, the company's current ratio has displayed resilience over the quarters, indicating a generally healthy liquidity position. However, analysts should continue to monitor the ratio to ensure the company can meet its short-term obligations effectively.
Peer comparison
Dec 31, 2023