Avnet Inc (AVT)
Current ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 10,370,600 | 10,750,900 | 8,876,630 | 7,163,420 | 6,328,810 |
| Total current liabilities | US$ in thousands | 4,465,270 | 4,249,380 | 4,251,650 | 3,055,240 | 2,280,370 |
| Current ratio | 2.32 | 2.53 | 2.09 | 2.34 | 2.78 |
June 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $10,370,600K ÷ $4,465,270K
= 2.32
The current ratio of Avnet Inc has shown some fluctuations over the past five years. The ratio indicates the company's ability to meet its short-term obligations with its current assets.
In 2024, the current ratio stands at 2.32, a decrease from the previous year's ratio of 2.53. This decline suggests that the company may have a slightly reduced ability to cover its short-term liabilities with its current assets.
Comparing the current ratio to 2022, we see an improvement from 2.09 to 2.32, indicating a better ability to meet short-term obligations. However, in 2021, the ratio was slightly higher at 2.34, suggesting the company was slightly more liquid then compared to the current year.
The highest current ratio was observed in 2020 at 2.78, which indicates that Avnet Inc had a higher level of liquidity to cover short-term obligations at that time.
Overall, while the current ratio has fluctuated over the years, it remains above 2 in each year, indicating a generally healthy liquidity position for Avnet Inc. However, management should continue to monitor this ratio to ensure the company's short-term financial health.
Peer comparison
Jun 30, 2024