.Liquidity Analysis
Difficulty: Beginner
Liquidity ratios measure the company's ability to meet its short-term obligations.
Ratios (Summary)
Accenture PLC, liquidity ratios
| Aug 31, 2017 | Aug 31, 2016 | Aug 31, 2015 | Aug 31, 2014 | Aug 31, 2013 | Aug 31, 2012 | ||
|---|---|---|---|---|---|---|---|
| | Current ratio | ||||||
| | Quick ratio | ||||||
| | Cash ratio |
Source: Based on data from Accenture PLC Annual Reports
| Ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Accenture PLC's current ratio deteriorated from 2015 to 2016 and from 2016 to 2017. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Accenture PLC's quick ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Accenture PLC's cash ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Current Ratio
Accenture PLC, current ratio calculation, comparison to benchmarks
| Aug 31, 2017 | Aug 31, 2016 | Aug 31, 2015 | Aug 31, 2014 | Aug 31, 2013 | Aug 31, 2012 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (USD $ in thousands) | |||||||
| | Current assets | ||||||
| | Current liabilities | ||||||
| Ratio | |||||||
| | Current ratio1 | ||||||
| Benchmarks | |||||||
| Current Ratio, Competitors | |||||||
| Automatic Data Processing Inc. | |||||||
| Current Ratio, Sector | |||||||
| Support Services | |||||||
| Current Ratio, Industry | |||||||
| Industrials | |||||||
Source: Based on data from Accenture PLC Annual Reports
2017 Calculations
1 Current ratio = Current assets ÷ Current liabilities
= ÷ =
| Ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | Accenture PLC's current ratio deteriorated from 2015 to 2016 and from 2016 to 2017. |
Quick Ratio
Accenture PLC, quick ratio calculation, comparison to benchmarks
| Aug 31, 2017 | Aug 31, 2016 | Aug 31, 2015 | Aug 31, 2014 | Aug 31, 2013 | Aug 31, 2012 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (USD $ in thousands) | |||||||
| | Cash and cash equivalents | ||||||
| | Short-term investments | ||||||
| | Receivables from clients, net | ||||||
| | Total quick assets | ||||||
| | Current liabilities | ||||||
| Ratio | |||||||
| | Quick ratio1 | ||||||
| Benchmarks | |||||||
| Quick Ratio, Competitors | |||||||
| Automatic Data Processing Inc. | |||||||
| Quick Ratio, Sector | |||||||
| Support Services | |||||||
| Quick Ratio, Industry | |||||||
| Industrials | |||||||
Source: Based on data from Accenture PLC Annual Reports
2017 Calculations
1 Quick ratio = Total quick assets ÷ Current liabilities
= ÷ =
| Ratio | Description | The company |
|---|---|---|
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | Accenture PLC's quick ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
Cash Ratio
Accenture PLC, cash ratio calculation, comparison to benchmarks
| Aug 31, 2017 | Aug 31, 2016 | Aug 31, 2015 | Aug 31, 2014 | Aug 31, 2013 | Aug 31, 2012 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (USD $ in thousands) | |||||||
| | Cash and cash equivalents | ||||||
| | Short-term investments | ||||||
| | Total cash assets | ||||||
| | Current liabilities | ||||||
| Ratio | |||||||
| | Cash ratio1 | ||||||
| Benchmarks | |||||||
| Cash Ratio, Competitors | |||||||
| Automatic Data Processing Inc. | |||||||
| Cash Ratio, Sector | |||||||
| Support Services | |||||||
| Cash Ratio, Industry | |||||||
| Industrials | |||||||
Source: Based on data from Accenture PLC Annual Reports
2017 Calculations
1 Cash ratio = Total cash assets ÷ Current liabilities
= ÷ =
| Ratio | Description | The company |
|---|---|---|
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | Accenture PLC's cash ratio improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017. |
