Fabrinet (FN)
Quick ratio
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 306,425 | 306,905 | 403,662 | 400,684 | 409,973 | 385,111 | 334,053 | 308,338 | 231,368 | 230,743 | 250,829 | 255,260 | 198,216 | 269,140 | 276,531 | 269,911 | 302,969 | 247,011 | 219,221 | 189,201 |
| Short-term investments | US$ in thousands | 627,819 | 643,772 | 530,969 | 508,193 | 448,630 | 408,915 | 406,540 | 362,428 | 319,100 | 307,980 | 276,778 | 244,536 | 280,157 | 245,852 | 243,339 | 258,501 | 244,963 | 261,736 | 261,817 | 307,238 |
| Receivables | US$ in thousands | 758,894 | 658,301 | 680,094 | 662,692 | 592,452 | 583,882 | 584,614 | 535,006 | 531,767 | 561,424 | 533,602 | 476,572 | 452,794 | 459,620 | 397,873 | 359,809 | 348,425 | 350,519 | 358,963 | 325,229 |
| Total current liabilities | US$ in thousands | 809,842 | 675,047 | 663,160 | 575,978 | 557,942 | 544,267 | 486,777 | 455,433 | 481,885 | 554,989 | 549,595 | 526,355 | 538,487 | 502,659 | 500,037 | 479,219 | 444,358 | 366,240 | 395,035 | 355,449 |
| Quick ratio | 2.09 | 2.38 | 2.43 | 2.73 | 2.60 | 2.53 | 2.72 | 2.65 | 2.25 | 1.98 | 1.93 | 1.85 | 1.73 | 1.94 | 1.84 | 1.85 | 2.02 | 2.35 | 2.13 | 2.31 |
June 30, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($306,425K
+ $627,819K
+ $758,894K)
÷ $809,842K
= 2.09
The Fabrinet quick ratio has exhibited notable fluctuations over the observed period from September 30, 2020, to June 30, 2025. Initially, the ratio was approximately 2.31, decreasing slightly to 2.13 by December 31, 2020. Throughout 2021, the quick ratio displayed a pattern of modest decline, reaching a low of 1.84 on December 31, 2021. A gradual recovery was observed in 2022 and early 2023, with the ratio rising to approximately 1.98 by March 31, 2023.
From mid-2023 onward, the ratio demonstrated a strengthening trend, culminating in a peak of 2.73 as of September 30, 2024. This signifies an improvement in liquidity and the company's ability to meet short-term liabilities using its most liquid assets. In subsequent periods, the ratio experienced minor fluctuations, moving slightly downward to 2.43 in December 2024, then stabilizing around the 2.38 to 2.09 range through June 2025.
Overall, the trend indicates that Fabrinet has maintained a relatively high quick ratio throughout the period, consistently above 1.8 and reaching levels above 2.5 in recent periods. This suggests a strong liquidity position with ample liquid assets to cover immediate obligations. The upward trajectory observed in 2023 and 2024 reflects an improvement in liquidity management, while the slight declines thereafter appear to be adjustments within a stable and comfortable liquidity range.