Flowers Foods Inc (FLO)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Oct 7, 2023 | Sep 30, 2023 | Jul 15, 2023 | Jun 30, 2023 | Apr 22, 2023 | Mar 31, 2023 | Dec 31, 2022 | Oct 8, 2022 | Sep 30, 2022 | Jun 30, 2022 | Apr 23, 2022 | Mar 31, 2022 | Dec 31, 2021 | Oct 9, 2021 | Sep 30, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 5,005 | 14,975 | 6,866 | 15,818 | 22,527 | 14,561 | 14,561 | 11,711 | 11,711 | 27,720 | 27,720 | 165,134 | 172,744 | 172,744 | 162,511 | 205,147 | 205,147 | 185,871 | 307,523 | 307,523 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | — | 377,141 | — | 439,308 | — | 375,674 | — | — | — | — | — | 338,097 | — | — | — | — |
| Total current liabilities | US$ in thousands | 548,603 | 569,061 | 589,497 | 622,394 | 659,152 | 669,859 | 669,859 | 555,457 | 555,457 | 542,119 | 542,119 | 564,425 | 594,531 | 594,531 | 570,161 | 538,024 | 538,024 | 519,917 | 536,591 | 536,591 |
| Quick ratio | 0.01 | 0.03 | 0.01 | 0.03 | 0.03 | 0.58 | 0.02 | 0.81 | 0.02 | 0.74 | 0.05 | 0.29 | 0.29 | 0.29 | 0.29 | 1.01 | 0.38 | 0.36 | 0.57 | 0.57 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($5,005K
+ $—K
+ $—K)
÷ $548,603K
= 0.01
The quick ratio of Flowers Foods Inc has varied significantly over the past few years, indicating fluctuations in the company's ability to meet its short-term liabilities with its most liquid assets. The quick ratio measures the company's ability to cover its current liabilities with its quick assets (cash, marketable securities, and accounts receivable).
Looking at the data provided, we observe that the quick ratio ranged from 0.01 to 1.01 during the period from September 2021 to December 2024. A quick ratio of 1.0 is generally considered healthy, as it suggests that the company has sufficient quick assets to cover its current liabilities.
The quick ratio for Flowers Foods Inc was consistently below 1.0 during most quarters, indicating potential liquidity challenges in meeting short-term obligations. The ratio improved slightly in some quarters, reaching its highest point of 1.01 in April 2022, which may suggest better liquidity management or increased collections on receivables during that period.
However, it is worth noting that the quick ratio dropped significantly in certain quarters, such as in March 2023 and June 2023, where it fell to 0.02 and 0.02 respectively. These low ratios may raise concerns about the company's ability to quickly liquidate its assets to meet its immediate financial obligations.
Overall, the trend in Flowers Foods Inc's quick ratio indicates the need for further analysis of the company's liquidity position and management of its quick assets to ensure its ability to meet short-term obligations consistently.
Peer comparison
Dec 31, 2024