Worthington Industries Inc (WOR)
Current ratio
| Aug 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 576,437 | 691,111 | 1,772,600 | 1,691,860 | 1,868,340 | 1,710,770 | 1,602,790 | 1,705,300 | 1,785,650 | 1,896,980 | 1,910,770 | 1,970,310 | 1,967,990 | 1,686,920 | 1,687,870 | 1,766,460 | 983,179 | 1,053,200 | 1,010,650 | 1,030,090 |
| Total current liabilities | US$ in thousands | 166,238 | 202,288 | 945,342 | 868,939 | 717,558 | 664,809 | 660,891 | 784,290 | 932,261 | 1,026,700 | 820,158 | 864,257 | 787,901 | 637,261 | 557,174 | 542,184 | 388,238 | 489,843 | 473,863 | 482,674 |
| Current ratio | 3.47 | 3.42 | 1.88 | 1.95 | 2.60 | 2.57 | 2.43 | 2.17 | 1.92 | 1.85 | 2.33 | 2.28 | 2.50 | 2.65 | 3.03 | 3.26 | 2.53 | 2.15 | 2.13 | 2.13 |
August 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $576,437K ÷ $166,238K
= 3.47
The current ratio of Worthington Industries Inc has fluctuated over the past few years, ranging from a low of 1.85 to a high of 3.47. As of August 31, 2024, the current ratio stands at 3.47, indicating that the company has $3.47 in current assets for every $1 of current liabilities. This implies a healthy liquidity position, with ample short-term assets to cover short-term obligations.
The upward trend in the current ratio since the last few periods suggests an improvement in the liquidity position of the company. A current ratio above 2 is generally considered favorable as it indicates that the company can easily meet its short-term obligations.
However, it is worth noting that the current ratio dipped below 2 in some previous periods, such as May 31, 2022, and August 31, 2022, which could be a cause for concern as it may indicate a potential liquidity risk during those periods.
Overall, the current ratio of Worthington Industries Inc has shown strength and stability in its ability to meet short-term financial obligations, but monitoring trends over time and investigating factors affecting fluctuations in the ratio would be important for a deeper analysis of the company's liquidity position.
Peer comparison
Aug 31, 2024