Fortune Brands Innovations Inc. (FBIN)
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 | 2,007,400 | 2,019,100 | 2,081,900 | 2,172,100 | 2,045,700 | 2,149,700 | 2,443,600 | 2,301,200 | 2,460,400 | 3,007,600 | 3,063,800 | 2,956,700 | 2,744,500 | 2,726,000 | 2,548,900 | 2,345,900 | 2,208,500 | 2,138,000 | 1,957,300 | 1,914,000 |
| Total current liabilities | US$ in thousands | 1,602,300 | 1,532,200 | 1,548,000 | 1,062,500 | 1,200,400 | 1,192,100 | 1,640,700 | 1,413,200 | 1,544,700 | 2,047,900 | 1,441,500 | 1,354,800 | 1,971,100 | 1,528,800 | 1,364,700 | 1,197,000 | 1,345,100 | 1,135,000 | 952,800 | 1,246,100 |
| Current ratio | 1.25 | 1.32 | 1.34 | 2.04 | 1.70 | 1.80 | 1.49 | 1.63 | 1.59 | 1.47 | 2.13 | 2.18 | 1.39 | 1.78 | 1.87 | 1.96 | 1.64 | 1.88 | 2.05 | 1.54 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,007,400K ÷ $1,602,300K
= 1.25
Fortune Brands Innovations Inc.'s current ratio fluctuated over the analyzed period. The company's current ratio ranged from a low of 1.25 as of December 31, 2024, to a high of 2.18 as of March 31, 2022. Generally, a current ratio above 1 indicates that the company has more current assets than current liabilities, which is considered a positive sign of financial health.
The current ratio peaked in Q1 2022, indicating the company had a strong ability to cover its short-term obligations at that time. However, the ratio declined in the following quarters, reaching its lowest point in Q4 2024. While a higher current ratio is generally preferred, a very high ratio may suggest inefficient use of assets or an excessive level of inventory.
Overall, Fortune Brands Innovations Inc.'s current ratio demonstrates some variability throughout the analyzed period, suggesting changes in its liquidity position and ability to meet short-term obligations. It is important for the company to closely monitor its current ratio and ensure it remains at a level that supports its ongoing operations and growth strategies.
Peer comparison
Dec 31, 2024