Leggett & Platt Incorporated (LEG)
Current 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,690,500 | 1,734,500 | 1,788,600 | 1,860,300 | 1,881,400 | 1,886,200 | 1,905,800 | 2,014,800 | 1,958,000 | 2,001,000 | 2,091,800 | 2,138,000 | 2,065,300 | 1,983,600 | 1,894,800 | 1,789,000 | 1,612,100 | 1,518,300 | 1,410,300 | 1,782,000 |
| Total current liabilities | US$ in thousands | 846,400 | 1,171,700 | 1,167,900 | 1,188,300 | 1,262,600 | 1,009,100 | 955,600 | 968,600 | 968,100 | 965,000 | 1,331,400 | 1,351,200 | 1,335,700 | 1,338,000 | 1,107,100 | 995,600 | 1,006,000 | 947,400 | 775,500 | 854,700 |
| Current ratio | 2.00 | 1.48 | 1.53 | 1.57 | 1.49 | 1.87 | 1.99 | 2.08 | 2.02 | 2.07 | 1.57 | 1.58 | 1.55 | 1.48 | 1.71 | 1.80 | 1.60 | 1.60 | 1.82 | 2.08 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,690,500K ÷ $846,400K
= 2.00
The current ratio of Leggett & Platt Incorporated has shown fluctuations over the last five years, ranging from a low of 1.48 to a high of 2.08. The current ratio measures the company's ability to cover its short-term liabilities with its short-term assets. A current ratio of 1 indicates that the company has just enough current assets to cover its current liabilities.
In the recent quarters, the current ratio has been hovering around 1.5 to 2, indicating that Leggett & Platt has generally been able to meet its short-term obligations comfortably. However, it is important to note the downward trend in the current ratio over the last few quarters, with a slight improvement in the most recent quarter.
A current ratio above 1 is generally considered healthy, as it suggests that the company is able to pay off its short-term liabilities using its current assets. However, a ratio that is too high may indicate that the company is not efficiently utilizing its current assets. Conversely, a low current ratio may signal liquidity issues and difficulty in meeting short-term obligations.
Overall, while Leggett & Platt's current ratio has shown some fluctuation, it has remained above 1, indicating a generally healthy level of liquidity and ability to meet short-term obligations.
Peer comparison
Dec 31, 2024