Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
Air Products & Chemicals Inc., liquidity ratios
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Air Products & Chemicals Inc. current ratio improved from 2018 to 2019 and from 2019 to 2020. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Air Products & Chemicals Inc. quick ratio improved from 2018 to 2019 and from 2019 to 2020. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Air Products & Chemicals Inc. cash ratio improved from 2018 to 2019 and from 2019 to 2020. |
Current Ratio
Air Products & Chemicals Inc., current ratio calculation, comparison to benchmarks
| Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | Sep 30, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current assets | 8,684,900) | 4,618,300) | 5,082,200) | 5,876,700) | 4,317,300) | 2,910,800) | |
| Current liabilities | 2,416,700) | 1,820,900) | 2,338,300) | 2,489,000) | 3,283,300) | 3,648,100) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 3.59 | 2.54 | 2.17 | 2.36 | 1.31 | 0.80 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Linde plc | 0.80 | 0.85 | — | — | — | — | |
| Sherwin-Williams Co. | 1.00 | 1.02 | — | — | — | — | |
| Current Ratio, Sector | |||||||
| Chemicals | 0.85 | 0.90 | — | — | — | — | |
| Current Ratio, Industry | |||||||
| Materials | 1.14 | 1.15 | — | — | — | — | |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
1 2020 Calculation
Current ratio = Current assets ÷ Current liabilities
= 8,684,900 ÷ 2,416,700 = 3.59
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Air Products & Chemicals Inc. current ratio improved from 2018 to 2019 and from 2019 to 2020. |
Quick Ratio
Air Products & Chemicals Inc., quick ratio calculation, comparison to benchmarks
| Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | Sep 30, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash items | 5,253,000) | 2,248,700) | 2,791,300) | 3,273,600) | 1,501,300) | 206,400) | |
| Short-term investments | 1,104,900) | 166,000) | 184,700) | 404,000) | —) | —) | |
| Trade receivables, net | 1,274,800) | 1,260,200) | 1,207,200) | 1,174,000) | 1,439,900) | 1,406,200) | |
| Total quick assets | 7,632,700) | 3,674,900) | 4,183,200) | 4,851,600) | 2,941,200) | 1,612,600) | |
| Current liabilities | 2,416,700) | 1,820,900) | 2,338,300) | 2,489,000) | 3,283,300) | 3,648,100) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 3.16 | 2.02 | 1.79 | 1.95 | 0.90 | 0.44 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Linde plc | 0.59 | 0.61 | — | — | — | — | |
| Sherwin-Williams Co. | 0.50 | 0.50 | — | — | — | — | |
| Quick Ratio, Sector | |||||||
| Chemicals | 0.57 | 0.58 | — | — | — | — | |
| Quick Ratio, Industry | |||||||
| Materials | 0.71 | 0.64 | — | — | — | — | |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
1 2020 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 7,632,700 ÷ 2,416,700 = 3.16
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Air Products & Chemicals Inc. quick ratio improved from 2018 to 2019 and from 2019 to 2020. |
Cash Ratio
Air Products & Chemicals Inc., cash ratio calculation, comparison to benchmarks
| Sep 30, 2020 | Sep 30, 2019 | Sep 30, 2018 | Sep 30, 2017 | Sep 30, 2016 | Sep 30, 2015 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash items | 5,253,000) | 2,248,700) | 2,791,300) | 3,273,600) | 1,501,300) | 206,400) | |
| Short-term investments | 1,104,900) | 166,000) | 184,700) | 404,000) | —) | —) | |
| Total cash assets | 6,357,900) | 2,414,700) | 2,976,000) | 3,677,600) | 1,501,300) | 206,400) | |
| Current liabilities | 2,416,700) | 1,820,900) | 2,338,300) | 2,489,000) | 3,283,300) | 3,648,100) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 2.63 | 1.33 | 1.27 | 1.48 | 0.46 | 0.06 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Linde plc | 0.27 | 0.22 | — | — | — | — | |
| Sherwin-Williams Co. | 0.05 | 0.04 | — | — | — | — | |
| Cash Ratio, Sector | |||||||
| Chemicals | 0.22 | 0.17 | — | — | — | — | |
| Cash Ratio, Industry | |||||||
| Materials | 0.35 | 0.25 | — | — | — | — | |
Based on: 10-K (reporting date: 2020-09-30), 10-K (reporting date: 2019-09-30), 10-K (reporting date: 2018-09-30), 10-K (reporting date: 2017-09-30), 10-K (reporting date: 2016-09-30), 10-K (reporting date: 2015-09-30).
1 2020 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 6,357,900 ÷ 2,416,700 = 2.63
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Air Products & Chemicals Inc. cash ratio improved from 2018 to 2019 and from 2019 to 2020. |