Flowserve Corporation (FLS)
Quick ratio
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Cash | US$ in thousands | 675,441 | 545,678 | 434,971 | 658,452 | 1,095,270 |
Short-term investments | US$ in thousands | — | — | — | — | — |
Receivables | US$ in thousands | — | — | — | — | — |
Total current liabilities | US$ in thousands | 1,468,080 | 1,438,580 | 1,243,150 | 1,131,800 | 1,141,630 |
Quick ratio | 0.46 | 0.38 | 0.35 | 0.58 | 0.96 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($675,441K
+ $—K
+ $—K)
÷ $1,468,080K
= 0.46
The quick ratio of Flowserve Corporation has shown a decline from 0.96 as of December 31, 2020, to 0.58 as of December 31, 2021, and further dropped to 0.35 as of December 31, 2022. This indicates a potential strain on the company's liquidity position in the short term, as its ability to meet current liabilities with its most liquid assets has decreased significantly. However, there was a slight improvement to 0.38 as of December 31, 2023, followed by a further increase to 0.46 as of December 31, 2024. While the recent upward trend is positive, the quick ratio still remains below 1, highlighting the need for Flowserve Corporation to closely monitor and manage its short-term liquidity challenges to ensure financial stability and meet its obligations efficiently.
Peer comparison
Dec 31, 2024