Linde plc Ordinary Shares (LIN)
Current ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 12,945,000 | 12,620,000 | 13,047,000 | 10,159,000 | 10,924,000 |
| Total current liabilities | US$ in thousands | 14,544,000 | 15,717,000 | 16,479,000 | 13,643,000 | 13,740,000 |
| Current ratio | 0.89 | 0.80 | 0.79 | 0.74 | 0.80 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $12,945,000K ÷ $14,544,000K
= 0.89
The current ratio of Linde plc Ordinary Shares has shown varying trends over the past five years. As of December 31, 2020, the current ratio stood at 0.80, indicating that the company might have had difficulties meeting its short-term obligations with its current assets at that time. Subsequently, the ratio decreased to 0.74 by the end of 2021, raising concerns about the company's liquidity position.
However, there was a slight improvement in the current ratio to 0.79 in 2022, followed by another increase to 0.80 in 2023, bringing the ratio back to its 2020 level. This could suggest a better management of current assets and liabilities to meet short-term obligations.
The most notable improvement was observed by the end of 2024, with the current ratio increasing to 0.89. This significant rise indicates that the company likely had a more favorable liquidity position, with a stronger ability to cover its short-term liabilities with current assets.
Overall, the trend in Linde plc's current ratio signals fluctuations in the company's short-term liquidity position over the years, with notable improvements in recent periods, indicating potentially better management of current assets and liabilities.
Peer comparison
Dec 31, 2024