Avient Corp (AVNT)
Quick 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 544,500 | 505,700 | 489,400 | 444,300 | 545,800 | 439,600 | 528,700 | 582,700 | 641,100 | 544,400 | 645,100 | 562,600 | 601,200 | 545,200 | 616,200 | 594,500 | 649,500 | 577,300 | 1,977,000 | 1,280,200 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | 100 | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 756,100 | 894,500 | 1,498,200 | 732,100 | 773,600 | 727,100 | 776,500 | 837,200 | 869,400 | 1,555,600 | 1,570,600 | 1,556,300 | 946,300 | 961,800 | 934,300 | 863,600 | 804,600 | 768,900 | 624,300 | 687,800 |
| Quick ratio | 0.72 | 0.57 | 0.33 | 0.61 | 0.71 | 0.60 | 0.68 | 0.70 | 0.74 | 0.35 | 0.41 | 0.36 | 0.64 | 0.57 | 0.66 | 0.69 | 0.81 | 0.75 | 3.17 | 1.86 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($544,500K
+ $—K
+ $—K)
÷ $756,100K
= 0.72
The quick ratio of Avient Corp, a measure of the company's ability to meet its short-term obligations with its most liquid assets, has fluctuated over the years based on the provided data. The quick ratio indicates the company's ability to pay off its current liabilities without relying on the sale of inventory.
From March 2020 to June 2020, the quick ratio increased significantly from 1.86 to 3.17, indicating a strong liquidity position. However, the ratio started to decline from September 2020 to March 2024, reaching its lowest point of 0.33 in June 2024. This may suggest potential liquidity challenges or a decrease in the company's ability to meet short-term obligations without relying on inventory sales.
Although there have been fluctuations, the quick ratio remained above 1 throughout the period, indicating that Avient Corp generally had enough liquid assets to cover its short-term liabilities. It is important for the company to closely monitor its liquidity position and take necessary measures to ensure it can meet its obligations in a timely manner.
Peer comparison
Dec 31, 2024