Fresh Del Monte Produce Inc (FDP)
Quick ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 33,800 | 17,200 | 16,100 | 16,500 | 33,300 |
| Short-term investments | US$ in thousands | — | — | — | 1,000 | — |
| Receivables | US$ in thousands | 526,000 | 504,200 | 476,100 | 435,200 | 467,900 |
| Total current liabilities | US$ in thousands | 540,600 | 607,000 | 629,200 | 554,800 | 562,900 |
| Quick ratio | 1.04 | 0.86 | 0.78 | 0.82 | 0.89 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($33,800K
+ $—K
+ $526,000K)
÷ $540,600K
= 1.04
The quick ratio of Fresh Del Monte Produce Inc has exhibited fluctuations over the past five years. From 2019 to 2023, the quick ratio ranged from 0.78 to 1.04.
In 2023, the quick ratio improved to 1.04, indicating that the company had $1.04 in liquid assets available to cover each dollar of its current liabilities. This suggests that Fresh Del Monte Produce Inc had a stronger ability to meet its short-term obligations using its most liquid assets.
The improvement in the quick ratio from 2022 to 2023 may indicate better management of the company's current assets and liabilities, potentially leading to enhanced liquidity and financial stability.
Overall, the increase in the quick ratio in 2023 reflects a healthier liquidity position for Fresh Del Monte Produce Inc compared to the previous years, signaling a positive trend in the company's short-term solvency.
Peer comparison
Dec 31, 2023