Fair Isaac Corporation (FICO)

Current 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
Total current assets	US$ in thousands	565,263	556,448	575,011	521,326	483,822	484,715	473,257	482,209	461,996	550,974	556,880	551,818	508,441	534,078	483,011	483,671	460,994	455,706	435,064	397,000
Total current liabilities	US$ in thousands	433,109	367,688	392,946	373,278	354,988	331,459	383,855	382,762	321,797	559,207	544,769	500,561	391,042	414,511	460,187	479,824	442,032	490,828	457,713	436,620
Current ratio		1.31	1.51	1.46	1.40	1.36	1.46	1.23	1.26	1.44	0.99	1.02	1.10	1.30	1.29	1.05	1.01	1.04	0.93	0.95	0.91

December 31, 2023 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $565,263K ÷ $433,109K
= 1.31

The current ratio of Fair, Isaac Corp. has fluctuated over the past eight quarters, ranging from 1.23 to 1.51. The current ratio measures the company's ability to meet its short-term obligations with its current assets, with a higher ratio indicating a stronger ability to cover short-term liabilities.

The company's current ratio demonstrates adequate liquidity, consistently staying above 1, which indicates that it has more current assets than current liabilities. However, the fluctuation in the ratio could suggest variations in the company's management of working capital or changes in its short-term obligations.

The increase in the current ratio from 1.23 in June 2022 to 1.51 in September 2023 may indicate an improvement in the company's short-term liquidity position. It suggests that the company may have increased its current assets or reduced its current liabilities during this period.

However, the slight decrease in current ratio from 1.51 in September 2023 to 1.31 in December 2023 might suggest a potential reduction in the company's ability to cover its short-term liabilities with its current assets.

Overall, while the current ratio indicates that Fair, Isaac Corp. has maintained a reasonable level of liquidity over the past eight quarters, it would be important to monitor the trend to ensure the company's ability to meet its short-term obligations remains robust.