Kellanova (K)
Quick ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 694,000 | 274,000 | 299,000 | 286,000 | 435,000 |
| Short-term investments | US$ in thousands | — | 9,000 | 49,000 | 14,000 | 4,000 |
| Receivables | US$ in thousands | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 4,660,000 | 5,060,000 | 6,349,000 | 5,315,000 | 5,238,000 |
| Quick ratio | 0.15 | 0.06 | 0.05 | 0.06 | 0.08 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($694,000K
+ $—K
+ $—K)
÷ $4,660,000K
= 0.15
The quick ratio of Kellanova has shown fluctuations over the past five years. As of December 31, 2020, the quick ratio was at a low of 0.08, indicating that the company may have had difficulties meeting its short-term obligations using its most liquid assets. The ratio decreased further to 0.06 by December 31, 2021, suggesting a potential deterioration in the company's liquidity position.
By December 31, 2022, the quick ratio dropped to 0.05, signaling a continued challenge in Kellanova's ability to cover its short-term liabilities without relying on inventory. However, there was a slight improvement by December 31, 2023, with the quick ratio increasing to 0.06, although it remained relatively low.
Notably, by December 31, 2024, the quick ratio significantly improved to 0.15, indicating a healthier liquidity position for Kellanova compared to the previous years. This increase may suggest that the company enhanced its ability to meet its short-term financial commitments with its readily available assets.
Overall, Kellanova's quick ratio fluctuated over the period, with a mix of low and improving results. Continuous monitoring of this ratio will be crucial to assess the company's ongoing liquidity management and its ability to weather short-term financial challenges.
Peer comparison
Dec 31, 2024