Donaldson Company Inc (DCI)
Current ratio
| Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,438,100 | 1,400,700 | 1,317,200 | 1,313,100 | 1,286,000 | 1,352,600 | 1,349,100 | 1,335,400 | 1,406,500 | 1,367,300 | 1,314,200 | 1,295,800 | 1,244,000 | 1,198,700 | 1,126,300 | 1,143,600 | 1,096,700 | 1,220,500 | 1,121,200 | 1,159,100 |
| Total current liabilities | US$ in thousands | 782,500 | 735,200 | 893,500 | 882,600 | 756,400 | 712,000 | 580,100 | 569,300 | 629,600 | 606,500 | 638,500 | 581,900 | 606,600 | 548,800 | 499,500 | 419,400 | 406,800 | 432,800 | 498,200 | 531,100 |
| Current ratio | 1.84 | 1.91 | 1.47 | 1.49 | 1.70 | 1.90 | 2.33 | 2.35 | 2.23 | 2.25 | 2.06 | 2.23 | 2.05 | 2.18 | 2.25 | 2.73 | 2.70 | 2.82 | 2.25 | 2.18 |
July 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,438,100K ÷ $782,500K
= 1.84
The current ratio of Donaldson Company Inc has fluctuated over the past few years, ranging from a low of 1.47 to a high of 2.82. The current ratio measures a company's ability to cover its short-term liabilities with its current assets. A higher current ratio indicates a stronger liquidity position, as the company has more current assets relative to its current liabilities.
Looking at the trend in the current ratio over time, there appears to be some variability, with the ratio generally staying above 1.5, indicating that the company typically has more than enough current assets to cover its short-term obligations. The lower ratios in some periods suggest a slightly weaker liquidity position compared to the higher ratios.
Overall, the current ratio of Donaldson Company Inc has shown that the company has maintained a healthy liquidity position, though there have been fluctuations over the periods analyzed. It would be important to continue monitoring this ratio to ensure that the company's short-term liquidity remains strong.