WW Grainger Inc (GWW)
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 | 5,737,000 | 6,183,000 | 5,521,000 | 5,540,000 | 5,274,000 | 5,412,000 | 5,343,000 | 5,190,000 | 4,977,000 | 4,686,000 | 4,513,000 | 4,439,000 | 4,011,000 | 4,005,000 | 4,057,000 | 3,934,000 | 3,919,000 | 4,273,000 | 4,918,000 | 4,914,000 |
| Total current liabilities | US$ in thousands | 2,305,000 | 2,383,000 | 2,397,000 | 2,528,000 | 1,831,000 | 1,898,000 | 1,920,000 | 1,924,000 | 2,010,000 | 1,785,000 | 1,750,000 | 1,742,000 | 1,528,000 | 1,550,000 | 1,589,000 | 1,531,000 | 1,441,000 | 1,441,000 | 1,388,000 | 1,500,000 |
| Current ratio | 2.49 | 2.59 | 2.30 | 2.19 | 2.88 | 2.85 | 2.78 | 2.70 | 2.48 | 2.63 | 2.58 | 2.55 | 2.62 | 2.58 | 2.55 | 2.57 | 2.72 | 2.97 | 3.54 | 3.28 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $5,737,000K ÷ $2,305,000K
= 2.49
The current ratio of WW Grainger Inc has shown fluctuations over the past few years. The ratio has generally been above 2, indicating that the company has had more than enough current assets to cover its current liabilities, which is a positive sign of financial health.
The current ratio peaked at 3.54 as of June 30, 2020, indicating a strong ability to meet short-term obligations. However, it declined gradually thereafter, reaching a low of 2.19 as of March 31, 2024. This decrease suggests a potential decrease in liquidity or an increase in short-term liabilities relative to current assets during this period.
Overall, while the current ratio of WW Grainger Inc has shown some variability, it has generally remained above 2, indicating a comfortable short-term liquidity position for the company. It would be important for stakeholders to continue monitoring this ratio to ensure the company's ability to meet its short-term obligations effectively.