FTI Consulting Inc (FCN)
Cash ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 303,222 | 201,148 | 203,539 | 238,539 | 491,688 | 327,047 | 255,730 | 271,143 | 494,485 | 342,527 | 256,875 | 233,421 | 294,953 | 304,658 | 304,206 | 223,063 | 369,373 | 258,470 | 189,106 | 179,241 |
| Short-term investments | US$ in thousands | 25,461 | — | — | — | 0 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 892,769 | 708,531 | 644,701 | 538,452 | 769,491 | 648,999 | 570,894 | 509,930 | 718,116 | 645,622 | 562,562 | 495,778 | 670,171 | 608,261 | 517,468 | 451,341 | 612,537 | 546,784 | 463,878 | 391,465 |
| Cash ratio | 0.37 | 0.28 | 0.32 | 0.44 | 0.64 | 0.50 | 0.45 | 0.53 | 0.69 | 0.53 | 0.46 | 0.47 | 0.44 | 0.50 | 0.59 | 0.49 | 0.60 | 0.47 | 0.41 | 0.46 |
December 31, 2023 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($303,222K
+ $25,461K)
÷ $892,769K
= 0.37
The cash ratio of FTI Consulting Inc. has shown some fluctuations over the past eight quarters. The ratio measures the company's ability to cover its short-term liabilities with its cash and cash equivalents.
In Q1 2023, the cash ratio was 0.62, indicating that the company had $0.62 in cash and cash equivalents for every dollar of current liabilities. This was a decrease from the previous quarter, Q4 2022, where the ratio stood at 0.75, suggesting a slight decline in the company's liquidity position.
The cash ratio then decreased further in Q2 2023 to 0.48, before slightly increasing to 0.46 in both Q3 and Q4 2023. These fluctuations suggest some variability in FTI Consulting's ability to cover its short-term obligations with cash reserves during this period.
Comparing the current ratios to the same quarters in the previous year, there is a noticeable decline in liquidity. For example, in Q1 2022, the cash ratio was 0.72, which was higher than any of the ratios reported in 2023.
Overall, the trend in FTI Consulting's cash ratio indicates some volatility in its liquidity position over the past eight quarters. Investors and stakeholders may want to monitor this ratio closely to assess the company's ability to meet its short-term obligations with available cash resources.
Peer comparison
Dec 31, 2023