Current Ratio
since 2005
Calculation
Trane Technologies plc, current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Dec 31, 2022 | 1.12 | = | 6,379,200) | ÷ | 5,686,800) |
| Dec 31, 2021 | 1.36 | = | 6,470,900) | ÷ | 4,752,400) |
| Dec 31, 2020 | 1.59 | = | 6,905,600) | ÷ | 4,338,900) |
| Dec 31, 2019 | 1.28 | = | 6,217,200) | ÷ | 4,861,900) |
| Dec 31, 2018 | 1.33 | = | 5,732,000) | ÷ | 4,315,700) |
| Dec 31, 2017 | 1.27 | = | 6,119,100) | ÷ | 4,828,000) |
| Dec 31, 2016 | 1.55 | = | 5,579,300) | ÷ | 3,590,300) |
| Dec 31, 2015 | 1.26 | = | 4,609,400) | ÷ | 3,648,400) |
| Dec 31, 2014 | 1.56 | = | 5,707,900) | ÷ | 3,666,100) |
| Dec 31, 2013 | 1.68 | = | 5,716,700) | ÷ | 3,408,600) |
| Dec 31, 2012 | 1.19 | = | 4,942,700) | ÷ | 4,161,300) |
| Dec 31, 2011 | 1.26 | = | 5,182,600) | ÷ | 4,124,500) |
| Dec 31, 2010 | 1.27 | = | 5,370,700) | ÷ | 4,224,900) |
| Dec 31, 2009 | 1.21 | = | 4,827,300) | ÷ | 3,978,200) |
| Dec 31, 2008 | 0.98 | = | 5,399,700) | ÷ | 5,511,400) |
| Dec 31, 2007 | 2.38 | = | 7,700,700) | ÷ | 3,235,700) |
| Dec 31, 2006 | 1.13 | = | 4,095,900) | ÷ | 3,613,600) |
| Dec 31, 2005 | 1.33 | = | 4,248,200) | ÷ | 3,199,700) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The liquidity position from 2005 to 2022 is characterized by significant early volatility followed by a period of relative stabilization, with the current ratio generally maintaining a level above 1.0, indicating a consistent ability to cover short-term obligations.
- Early Period Volatility (2005–2009)
- A substantial fluctuation in short-term solvency is observed between 2005 and 2009. The current ratio reached a peak of 2.38 in 2007, coinciding with a surge in current assets to 7.7 billion USD. This was followed by a sharp contraction to 0.98 in 2008, marking the only period in the analyzed timeframe where current liabilities exceeded current assets. This decline was driven by a spike in current liabilities to 5.5 billion USD.
- Mid-Term Stabilization (2010–2019)
- Following the 2008 downturn, the current ratio entered a phase of relative stability, typically oscillating between 1.2 and 1.6. A secondary peak was noted in 2013 with a ratio of 1.68. During this period, current assets generally trended upward from 5.3 billion USD in 2010 to 6.2 billion USD in 2019, while current liabilities were maintained within a tighter range of 3.4 billion to 4.8 billion USD.
- Recent Liquidity Trends (2020–2022)
- The final three years of the period show a tightening of liquidity. After a temporary increase to a ratio of 1.59 in 2020, the current ratio declined to 1.12 by the end of 2022. This downward trend is primarily attributed to a significant increase in current liabilities, which rose to 5.68 billion USD in 2022, while current assets remained relatively stagnant at 6.38 billion USD.
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Comparison to Competitors
Trane Technologies plc, current ratio, long-term trends, comparison to competitors
| Trane Technologies plc | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 1.12 | 1.22 | 1.39 | 1.38 | 1.16 | 1.25 | 1.32 | 1.09 |
| Dec 31, 2021 | 1.36 | 1.33 | 1.46 | 1.04 | 1.28 | 1.30 | 1.42 | 1.19 |
| Dec 31, 2020 | 1.59 | 1.39 | 1.53 | 1.56 | 1.58 | 1.47 | 1.39 | 1.21 |
| Dec 31, 2019 | 1.28 | 1.05 | 1.47 | 1.70 | 1.16 | 1.34 | 1.22 | 1.08 |
| Dec 31, 2018 | 1.33 | 1.08 | 1.37 | 1.47 | — | 1.29 | 1.12 | 1.13 |
| Dec 31, 2017 | 1.27 | 1.16 | 1.35 | 1.64 | — | 1.38 | 1.38 | 1.35 |
| Dec 31, 2016 | 1.55 | 1.25 | 1.22 | 1.27 | — | 1.41 | 1.20 | 1.30 |
| Dec 31, 2015 | 1.26 | 1.35 | 1.31 | 1.43 | — | 1.09 | 1.15 | 1.18 |
| Dec 31, 2014 | 1.56 | 1.20 | 1.39 | 1.51 | — | 1.50 | 1.11 | 1.30 |
| Dec 31, 2013 | 1.68 | 1.26 | 1.40 | 1.78 | — | 1.49 | 1.20 | 1.29 |
| Dec 31, 2012 | 1.19 | 1.27 | 1.43 | 1.44 | — | 1.35 | 1.14 | 1.24 |
| Dec 31, 2011 | 1.26 | 1.21 | 1.33 | 1.60 | — | 1.31 | 1.16 | 1.38 |
| Dec 31, 2010 | 1.27 | 1.15 | 1.44 | 1.70 | — | 1.28 | 1.15 | 1.33 |
| Dec 31, 2009 | 1.21 | 1.07 | 1.39 | 1.68 | — | 1.25 | 1.17 | 1.29 |
| Dec 31, 2008 | 0.98 | 0.84 | 1.21 | 1.28 | — | 1.08 | 1.01 | 1.24 |
| Dec 31, 2007 | 2.38 | 0.86 | 1.15 | 1.30 | — | 1.15 | 1.11 | 1.26 |
| Dec 31, 2006 | 1.13 | 0.77 | 1.20 | 1.29 | — | 1.21 | 1.06 | 1.24 |
| Dec 31, 2005 | 1.33 | 0.78 | 1.19 | 1.21 | — | 1.15 | 1.12 | 1.12 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Capital Goods)
Trane Technologies plc, current ratio, long-term trends, comparison to sector (capital goods)
| Trane Technologies plc | Capital Goods | |
|---|---|---|
| Dec 31, 2022 | 1.12 | 1.22 |
| Dec 31, 2021 | 1.36 | 1.31 |
| Dec 31, 2020 | 1.59 | 1.43 |
| Dec 31, 2019 | 1.28 | 1.17 |
| Dec 31, 2018 | 1.33 | 1.17 |
| Dec 31, 2017 | 1.27 | 1.29 |
| Dec 31, 2016 | 1.55 | 1.27 |
| Dec 31, 2015 | 1.26 | 1.26 |
| Dec 31, 2014 | 1.56 | 1.29 |
| Dec 31, 2013 | 1.68 | 1.34 |
| Dec 31, 2012 | 1.19 | 1.31 |
| Dec 31, 2011 | 1.26 | 1.29 |
| Dec 31, 2010 | 1.27 | 1.28 |
| Dec 31, 2009 | 1.21 | 1.23 |
| Dec 31, 2008 | 0.98 | 1.07 |
| Dec 31, 2007 | 2.38 | 1.08 |
| Dec 31, 2006 | 1.13 | 1.05 |
| Dec 31, 2005 | 1.33 | 1.03 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Industrials)
Trane Technologies plc, current ratio, long-term trends, comparison to industry (industrials)
| Trane Technologies plc | Industrials | |
|---|---|---|
| Dec 31, 2022 | 1.12 | 1.20 |
| Dec 31, 2021 | 1.36 | 1.29 |
| Dec 31, 2020 | 1.59 | 1.41 |
| Dec 31, 2019 | 1.28 | 1.16 |
| Dec 31, 2018 | 1.33 | 1.13 |
| Dec 31, 2017 | 1.27 | 1.24 |
| Dec 31, 2016 | 1.55 | 1.22 |
| Dec 31, 2015 | 1.26 | 1.24 |
| Dec 31, 2014 | 1.56 | 1.26 |
| Dec 31, 2013 | 1.68 | 1.33 |
| Dec 31, 2012 | 1.19 | 1.30 |
| Dec 31, 2011 | 1.26 | 1.30 |
| Dec 31, 2010 | 1.27 | 1.28 |
| Dec 31, 2009 | 1.21 | 1.23 |
| Dec 31, 2008 | 0.98 | 1.06 |
| Dec 31, 2007 | 2.38 | 1.07 |
| Dec 31, 2006 | 1.13 | 1.05 |
| Dec 31, 2005 | 1.33 | 1.05 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).