Flowserve Corporation (FLS)
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 | 2,703,780 | 2,638,520 | 2,579,380 | 2,542,240 | 2,450,970 | 2,223,780 | 2,280,930 | 2,376,860 | 2,388,680 | 3,223,220 | 2,440,690 | 2,448,960 | 2,904,330 | 2,806,140 | 2,430,600 | 2,425,510 | 2,506,750 | 2,395,660 | 2,409,320 | 2,436,620 |
| Total current liabilities | US$ in thousands | 1,438,580 | 1,306,820 | 1,292,090 | 1,321,720 | 1,243,150 | 1,091,690 | 1,091,720 | 1,147,610 | 1,131,800 | 1,908,880 | 1,069,720 | 1,083,730 | 1,141,630 | 1,093,580 | 1,090,360 | 1,106,030 | 1,117,440 | 1,048,200 | 1,058,870 | 1,121,430 |
| Current ratio | 1.88 | 2.02 | 2.00 | 1.92 | 1.97 | 2.04 | 2.09 | 2.07 | 2.11 | 1.69 | 2.28 | 2.26 | 2.54 | 2.57 | 2.23 | 2.19 | 2.24 | 2.29 | 2.28 | 2.17 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,703,780K ÷ $1,438,580K
= 1.88
Flowserve Corp.'s current ratio has shown a generally stable trend over the past eight quarters, ranging from a low of 1.88 in Q4 2023 to a high of 2.09 in Q2 2022. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. A ratio greater than 1 indicates that the company has more current assets than current liabilities, which is generally a positive sign of liquidity.
The current ratio peaked at 2.09 in Q2 2022 and has since fluctuated within a relatively tight range, with the most recent ratio coming in at 1.88 in Q4 2023. While the current ratio has slightly decreased over the past two quarters, it still remains above 1, indicating that Flowserve Corp. is able to meet its short-term obligations with its current assets.
Overall, the current ratio analysis suggests that Flowserve Corp. has maintained a healthy level of liquidity over the past two years, with fluctuations within an acceptable range. It is important for the company to continue monitoring its current ratio to ensure it remains at a level that adequately covers its short-term liabilities.
Peer comparison
Dec 31, 2023