Avanos Medical Inc (AVNS)

Current ratio

		Dec 31, 2024	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
Total current assets	US$ in thousands	393,400	472,600	474,100	467,800	487,000	524,600	506,900	453,800	499,800	470,000	437,100	439,200	418,600	405,000	443,500	447,900	467,200	567,600	517,100	524,100
Total current liabilities	US$ in thousands	165,900	212,900	208,200	205,200	234,600	170,700	160,500	158,500	185,800	162,300	151,100	152,900	139,200	129,200	158,300	154,600	166,300	179,400	176,000	189,400
Current ratio		2.37	2.22	2.28	2.28	2.08	3.07	3.16	2.86	2.69	2.90	2.89	2.87	3.01	3.13	2.80	2.90	2.81	3.16	2.94	2.77

December 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $393,400K ÷ $165,900K
= 2.37

The current ratio of Avanos Medical Inc has shown some fluctuations over the past few years, ranging from a low of 2.08 as of December 31, 2023, to a high of 3.16 as of June 30, 2023. The current ratio measures the company's ability to meet its short-term obligations with its current assets. A ratio above 1 indicates that the company has more current assets than current liabilities, which is generally seen as a positive sign.

Overall, the company has maintained a relatively healthy current ratio, with most readings comfortably above 2. This suggests that Avanos Medical Inc is in a strong position to cover its short-term obligations and indicates a good level of liquidity. However, the fluctuations in the current ratio over time should be closely monitored to assess the company's ongoing ability to manage its current liabilities effectively.