Linde plc Ordinary Shares (LIN)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 12,620,000 | 11,737,000 | 11,411,000 | 12,904,000 | 13,047,000 | 11,203,000 | 11,272,000 | 12,257,000 | 10,159,000 | 12,007,000 | 10,446,000 | 11,132,000 | 10,924,000 | 12,265,000 | 12,073,000 | 11,513,000 | 10,352,000 | 9,812,000 | 10,681,000 | 15,088,000 |
| Total current liabilities | US$ in thousands | 15,717,000 | 14,162,000 | 14,552,000 | 17,785,000 | 16,479,000 | 15,061,000 | 15,295,000 | 14,506,000 | 13,643,000 | 14,758,000 | 14,676,000 | 15,027,000 | 13,740,000 | 14,792,000 | 15,095,000 | 15,490,000 | 12,160,000 | 10,883,000 | 10,521,000 | 11,140,000 |
| Current ratio | 0.80 | 0.83 | 0.78 | 0.73 | 0.79 | 0.74 | 0.74 | 0.84 | 0.74 | 0.81 | 0.71 | 0.74 | 0.80 | 0.83 | 0.80 | 0.74 | 0.85 | 0.90 | 1.02 | 1.35 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $12,620,000K ÷ $15,717,000K
= 0.80
The current ratio of Linde Plc. has been fluctuating over the past eight quarters, ranging from 0.73 to 0.84. Generally, a current ratio below 1 indicates that the company may have difficulties meeting its short-term obligations with its current assets alone.
Looking at the trend over the quarters, the current ratio has shown some volatility, with Q1 2023 at 0.73 being the lowest point during the period, indicating potential liquidity concerns at that time. However, the ratio improved in Q2 and Q3 2023, reaching 0.78 and 0.83, respectively, before slightly dipping to 0.80 in Q4 2023.
Comparing year-on-year, the current ratio in Q4 2023 (0.80) is slightly higher than the same period in 2022 (0.79). This suggests that the company's ability to cover its short-term obligations with current assets has improved marginally over the year.
Overall, the current ratio trend for Linde Plc. signals some variability in its short-term liquidity position, with efforts needed to maintain a more stable and healthy ratio above 1 for better financial health and risk management.
Peer comparison
Dec 31, 2023