Brunswick Corporation (BC)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 467,800 | 595,600 | 354,500 | 519,600 | 320,300 |
| Short-term investments | US$ in thousands | 11,900 | 17,400 | 13,000 | 67,400 | 12,400 |
| Receivables | US$ in thousands | 493,200 | 543,000 | 485,300 | 337,600 | 331,800 |
| Total current liabilities | US$ in thousands | 1,752,100 | 1,489,900 | 1,442,200 | 1,079,200 | 944,400 |
| Quick ratio | 0.56 | 0.78 | 0.59 | 0.86 | 0.70 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($467,800K
+ $11,900K
+ $493,200K)
÷ $1,752,100K
= 0.56
The quick ratio of Brunswick Corp. has fluctuated over the past five years. The quick ratio measures the company's ability to cover its short-term liabilities with its most liquid assets. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term obligations.
In 2023, the quick ratio of Brunswick Corp. stood at 0.58, which indicates a decrease compared to the previous year. This implies that the company may be facing challenges in meeting its short-term obligations using its quick assets.
The quick ratio was higher at 0.81 in 2022, suggesting that Brunswick Corp. had a better ability to cover its short-term liabilities with its readily available assets compared to the following year.
In 2021, the quick ratio was 0.63, representing a decrease from the previous year. This might indicate a potential liquidity concern for the company during that period.
The quick ratio improved to 0.88 in 2020, signaling an increase in the ability of Brunswick Corp. to meet its short-term obligations with its quick assets.
In 2019, the quick ratio was at 0.73, indicating a moderate ability to cover short-term obligations with quick assets.
Overall, the fluctuating trend in the quick ratio of Brunswick Corp. suggests varying levels of liquidity and ability to cover short-term liabilities over the past five years. Investors and analysts may need to further investigate the underlying reasons for these fluctuations to assess the company's financial health and liquidity position accurately.
Peer comparison
Dec 31, 2023