Fastenal Company (FAST)
Current ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 3,211,900 | 3,260,500 | 3,146,700 | 3,083,500 | 3,020,900 | 3,147,600 | 3,137,000 | 3,161,500 | 3,124,800 | 3,195,600 | 3,152,700 | 3,034,000 | 2,856,600 | 2,770,300 | 2,705,300 | 2,614,200 | 2,499,600 | 2,646,700 | 2,606,300 | 2,464,300 |
| Total current liabilities | US$ in thousands | 687,100 | 741,600 | 717,000 | 637,900 | 661,300 | 667,900 | 736,600 | 863,200 | 789,800 | 802,600 | 849,000 | 745,500 | 682,200 | 662,500 | 650,200 | 661,200 | 612,700 | 603,000 | 631,300 | 580,400 |
| Current ratio | 4.67 | 4.40 | 4.39 | 4.83 | 4.57 | 4.71 | 4.26 | 3.66 | 3.96 | 3.98 | 3.71 | 4.07 | 4.19 | 4.18 | 4.16 | 3.95 | 4.08 | 4.39 | 4.13 | 4.25 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $3,211,900K ÷ $687,100K
= 4.67
Fastenal Company's current ratio has shown some fluctuations over the past few years. The current ratio measures the company's ability to cover its short-term obligations with its current assets. A higher current ratio indicates a stronger liquidity position and ability to meet its short-term debt obligations.
From March 31, 2020, to June 30, 2022, Fastenal's current ratio remained above 4, indicating a very healthy liquidity position. However, from June 30, 2022, to March 31, 2024, there was a downward trend in the current ratio, which dropped to as low as 3.66 by March 31, 2023. This may suggest a potential strain on the company's ability to cover its short-term obligations.
From June 30, 2023, to December 31, 2024, the current ratio showed an improvement, reaching 4.67 by December 31, 2024. This upward trend indicates a strengthening liquidity position, providing reassurance regarding the company's ability to meet its short-term financial commitments.
Overall, while there have been fluctuations in Fastenal's current ratio over the analyzed period, the company has managed to maintain a mostly healthy liquidity position, which is crucial for its financial stability and operational flexibility.
Peer comparison
Dec 31, 2024