AVADA Group (ASX:AVD) Current Ratio: 0.72 (As of Dec. 2025) — 38% Below Median


What is AVADA Group Current Ratio?

AVADA Group ASX:AVD Current Ratio is 0.72 as of Dec. 2025, which is 38% below its 10-year median of 1.17. The stock has 4 warning signs investors should review. Among 1,781 Construction companies, AVADA Group ranks worse than 94.67% on this metric.

The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. AVADA Group's current ratio for the quarter that ended in Dec. 2025 was 0.72.

AVADA Group has a current ratio of 0.72. It indicates that the company may have difficulty meeting its current obligations. Low values, however, do not indicate a critical problem. If AVADA Group has good long-term prospects, it may be able to borrow against those prospects to meet current obligations.

The historical rank and industry rank for AVADA Group's Current Ratio or its related term are showing as below:

ASX:AVD' s Current Ratio Range Over the Past 10 Years
Min: 0.59   Med: 1.17   Max: 1.36
Current: 0.72

During the past 5 years, AVADA Group's highest Current Ratio was 1.36. The lowest was 0.59. And the median was 1.17.

ASX:AVD's Current Ratio is ranked worse than
94.67% of 1781 companies
in the Construction industry
Industry Median: 1.58 vs ASX:AVD: 0.72

AVADA Group  (ASX:AVD) Current Ratio Explanation

The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.

Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.

The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.

If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.


AVADA Group Current Ratio Related Terms


AVADA Group Current Ratio Historical Data

* Premium members only.

The historical data trend for AVADA Group's Current Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

AVADA Group Current Ratio Chart

AVADA Group Annual Data
Trend Jun21 Jun22 Jun23 Jun24 Jun25
Current Ratio
1.14 0.83 1.21 1.33 1.15

AVADA Group Semi-Annual Data
Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Current Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.18 1.33 1.36 1.15 0.72

AVADA Group Current Ratio Competitor Comparison

For the Infrastructure Operations subindustry, AVADA Group's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


AVADA Group Current Ratio vs Construction Industry

For the Construction industry and Industrials sector, AVADA Group's Current Ratio distribution charts can be found below:

* The bar in red indicates where AVADA Group's Current Ratio falls into.



AVADA Group Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

AVADA Group's Current Ratio for the fiscal year that ended in Jun. 2025 is calculated as

Current Ratio (A: Jun. 2025 )=Total Current Assets (A: Jun. 2025 )/Total Current Liabilities (A: Jun. 2025 )
=39.2/34.089
=1.15

AVADA Group's Current Ratio for the quarter that ended in Dec. 2025 is calculated as

Current Ratio (Q: Dec. 2025 )=Total Current Assets (Q: Dec. 2025 )/Total Current Liabilities (Q: Dec. 2025 )
=44.369/61.498
=0.72

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Current Ratio →
What does a Current Ratio of 0.72 mean?
AVADA Group (ASX:AVD) has a Current Ratio of 0.72 as of Dec. 2025. This is 38% below median its historical median of 1.17. Over the past decade, AVADA Group's Current Ratio has ranged from 0.59 to 1.36. According to the industry distribution chart, AVADA Group ranks #1686 out of 1781 companies in the Construction industry, placing it in the top 94.7%.
Is AVADA Group's Current Ratio too high?
AVADA Group's current Current Ratio of 0.72 is 38% below median its 10-year median of 1.17. Over the past 10 years, this metric has ranged from a low of 0.59 to a high of 1.36. The Construction industry median Current Ratio is 1.58. AVADA Group's value of 0.72 is 54.4% below this industry median. Based on the distribution chart, AVADA Group ranks #1686 out of 1781 companies in the Construction industry, which is in the bottom quartile relative to peers.
How does AVADA Group's Current Ratio compare to competitors?
According to the Construction industry distribution chart, AVADA Group ranks #1686 out of 1781 companies for Current Ratio. This places AVADA Group in the lower half of its industry. The industry median Current Ratio is 1.58. AVADA Group's value of 0.72 is 54.4% below this benchmark. Historically, AVADA Group's own Current Ratio has ranged from 0.59 to 1.36 over the past decade. While the company's 10-year median is 1.17 vs. the industry median of 1.58, AVADA Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Construction company?
The median Current Ratio among Construction companies is 1.58, based on 1,781 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. AVADA Group's current Current Ratio of 0.72 is 54.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Construction industry, the median Current Ratio is 1.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AVADA Group's current Current Ratio is 0.72, which is 38% below median its own 10-year median of 1.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AVADA Group stock overvalued right now?
Based on GuruFocus' analysis, AVADA Group (ASX:AVD) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.58, compared to a current price of A$0.10 — trading 82.8% below its estimated fair value. The current Current Ratio is 0.72, which is 38% below median its 10-year median of 1.17 and 54.4% below the Construction industry median of 1.58. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For AVADA Group (ASX:AVD), the current Current Ratio is 0.72 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

AVADA Group Business Description

Address 116 Ipswich Road, Suite 1, Level 2, Woolloongabba, QLD, AUS, 4102
AVADA Group Ltd is an Australian traffic management operator and ancillary service provider with an established network throughout Queensland and New South Wales. The group has four reportable segments: Queensland Traffic Management, New South Wales Traffic Management, Victoria Traffic Management and New Zealand Traffic Management. Queensland Traffic Management is the key revenue generator for the group. It provides services to government clients and contractors in the civil infrastructure and maintenance sector.