Kenvue Inc. (KVUE)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,070,000 | 1,057,000 | 1,014,000 | 1,155,000 | 1,382,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 2,165,000 | 2,394,000 | 2,240,000 | 2,160,000 | 2,073,000 |
| Total current liabilities | US$ in thousands | 5,739,000 | 5,946,000 | 5,937,000 | 6,166,000 | 5,481,000 |
| Quick ratio | 0.56 | 0.58 | 0.55 | 0.54 | 0.63 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,070,000K
+ $—K
+ $2,165,000K)
÷ $5,739,000K
= 0.56
The quick ratio of Kenvue Inc. has shown a declining trend over the past year, from 0.63 as of December 31, 2023, to 0.56 as of December 31, 2024. This indicates that the company may be facing liquidity challenges, as it has less liquid assets to cover its current liabilities. A quick ratio below 1 suggests that Kenvue Inc. may have difficulty meeting its short-term obligations with its current liquid assets alone. Management should closely monitor and address this trend to ensure the company's financial health and ability to fulfill its short-term obligations.
Peer comparison
Dec 31, 2024