Fresh Del Monte Produce Inc (FDP)
Current ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,144,300 | 1,241,400 | 1,096,400 | 1,012,300 | 1,051,500 |
| Total current liabilities | US$ in thousands | 540,600 | 607,000 | 629,200 | 554,800 | 562,900 |
| Current ratio | 2.12 | 2.05 | 1.74 | 1.82 | 1.87 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,144,300K ÷ $540,600K
= 2.12
Fresh Del Monte Produce Inc's current ratio has shown a fluctuating trend over the past five years. The ratio has improved from 1.87 in 2019 to 2.12 in 2023, indicating an increase in the company's ability to cover its short-term obligations with its current assets.
Although the ratio decreased slightly in 2022 to 2.05, it remained above 2, which generally suggests a healthy liquidity position. However, in 2021, the current ratio decreased to 1.74, signaling a potential liquidity strain compared to the previous years.
Overall, the current ratio above 2 in 2023 reflects a positive liquidity position for Fresh Del Monte Produce Inc, indicating that the company has sufficient current assets to meet its short-term liabilities. It is essential for investors to monitor this ratio to assess the company's ability to meet its financial obligations in the short term.
Peer comparison
Dec 31, 2023