Hillenbrand Inc (HI)
Current ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,509,900 | 1,607,600 | 1,402,900 | 1,434,500 | 1,369,700 |
| Total current liabilities | US$ in thousands | 1,189,100 | 1,291,000 | 1,077,800 | 1,035,100 | 852,100 |
| Current ratio | 1.27 | 1.25 | 1.30 | 1.39 | 1.61 |
September 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,509,900K ÷ $1,189,100K
= 1.27
The current ratio of Hillenbrand Inc has shown a declining trend over the past five years. Starting at 1.61 in 2020, the current ratio has gradually decreased to 1.27 in 2024. This indicates that the company's ability to meet its short-term obligations with its current assets has weakened over the years. A current ratio below 1 would typically raise concerns about liquidity, but Hillenbrand Inc's current ratio has remained above 1 in all the years presented, suggesting that the company has sufficient current assets to cover its current liabilities. However, the decreasing trend warrants further investigation into the company's liquidity management and working capital efficiency.
Peer comparison
Sep 30, 2024