Plexus Corp (PLXS)

Current ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Total current assets	US$ in thousands	2,477,150	2,672,220	2,816,120	1,930,890	1,779,160
Total current liabilities	US$ in thousands	1,643,290	1,812,670	2,006,190	1,128,700	1,003,520
Current ratio		1.51	1.47	1.40	1.71	1.77

September 30, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $2,477,150K ÷ $1,643,290K
= 1.51

The current ratio of Plexus Corp has shown a fluctuating trend over the past five years. The ratio has ranged from 1.40 in 2022 to 1.77 in 2020. In the most recent fiscal year ending September 30, 2024, the current ratio improved to 1.51 from 1.47 in the previous year.

A current ratio above 1 indicates that Plexus Corp has more current assets than current liabilities, suggesting that the company may have sufficient short-term liquidity to meet its obligations. However, the downward trend in the ratio from 2020 to 2022 may raise concerns about the company's ability to cover its short-term liabilities with its current assets during that period.

It is essential for Plexus Corp to carefully monitor its current ratio and ensure it remains at an optimal level to maintain liquidity and meet its financial obligations in the short term. Further analysis of the components of current assets and liabilities can provide deeper insights into the company's liquidity position.