Fortive Corp (FTV)
Cash ratio
| 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 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 813,300 | 811,300 | 644,100 | 704,600 | 1,888,800 | 714,100 | 712,800 | 672,800 | 709,200 | 705,300 | 682,900 | 684,300 | 819,300 | 838,400 | 1,565,800 | 1,299,600 | 1,824,800 | 1,489,100 | 1,063,000 | 1,040,500 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | 0 | — | — | — | 1,119,200 | — | — | — |
| Total current liabilities | US$ in thousands | 2,238,400 | 2,100,800 | 2,045,800 | 1,738,700 | 1,791,300 | 2,420,000 | 2,585,000 | 2,630,100 | 2,727,100 | 2,592,100 | 2,611,300 | 2,561,600 | 3,714,900 | 2,868,900 | 2,569,700 | 2,474,800 | 2,860,800 | 3,041,000 | 2,876,400 | 2,121,100 |
| Cash ratio | 0.36 | 0.39 | 0.31 | 0.41 | 1.05 | 0.30 | 0.28 | 0.26 | 0.26 | 0.27 | 0.26 | 0.27 | 0.22 | 0.29 | 0.61 | 0.53 | 1.03 | 0.49 | 0.37 | 0.49 |
December 31, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($813,300K
+ $—K)
÷ $2,238,400K
= 0.36
The cash ratio of Fortive Corp fluctuated over the period studied, ranging from a low of 0.22 on December 31, 2021, to a high of 1.05 on December 31, 2023. The cash ratio indicates the company's ability to cover its short-term obligations using its cash and cash equivalents. A higher cash ratio suggests stronger liquidity and a better ability to meet short-term obligations.
From the data provided, it is evident that Fortive Corp's cash ratio improved significantly from the end of 2021 to the end of 2023, indicating a stronger ability to cover short-term liabilities during that period. However, there were fluctuations in the cash ratio in the following periods until the end of 2024, suggesting varying levels of liquidity management.
Overall, while the company's cash ratio showed some volatility, it demonstrated periods of improvement in liquidity management, which is crucial for maintaining financial stability and meeting short-term financial obligations.
Peer comparison
Dec 31, 2024