Acuity Brands Inc (AYI)
Current ratio
| Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,395,200 | 1,466,000 | 1,544,300 | 1,439,700 | 1,441,800 |
| Total current liabilities | US$ in thousands | 595,400 | 733,600 | 692,200 | 617,600 | 596,100 |
| Current ratio | 2.34 | 2.00 | 2.23 | 2.33 | 2.42 |
August 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,395,200K ÷ $595,400K
= 2.34
The current ratio of Acuity Brands, Inc. has exhibited some fluctuations over the past five years, standing at 2.34 as of August 31, 2023, compared to 2.00 in the prior year. This ratio indicates the company's ability to meet its short-term obligations with its current assets. A higher current ratio is generally considered favorable as it suggests a stronger ability to cover short-term liabilities. However, the declining trend from 2022 to 2023 may raise concerns about the company's liquidity management. It would be important to further assess the composition and quality of the current assets to understand the changes in the current ratio and its potential implications for the company's financial health.
Peer comparison
Aug 31, 2023