Snap-On Inc (SNA)
Current ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 3,652,000 | 3,605,000 | 3,533,400 | 3,481,200 | 3,368,900 | 3,269,600 | 3,230,700 | 3,236,000 | 3,053,400 | 2,974,300 | 3,149,700 | 3,052,500 | 3,083,000 | 2,938,200 | 2,772,400 | 2,303,100 | 2,380,500 | 2,347,900 | 2,306,600 | 2,265,300 |
| Total current liabilities | US$ in thousands | 941,600 | 981,900 | 962,300 | 999,000 | 971,600 | 993,500 | 986,100 | 1,024,100 | 982,200 | 979,700 | 1,222,100 | 1,234,100 | 1,164,900 | 1,117,000 | 829,400 | 921,900 | 947,600 | 990,100 | 930,800 | 936,000 |
| Current ratio | 3.88 | 3.67 | 3.67 | 3.48 | 3.47 | 3.29 | 3.28 | 3.16 | 3.11 | 3.04 | 2.58 | 2.47 | 2.65 | 2.63 | 3.34 | 2.50 | 2.51 | 2.37 | 2.48 | 2.42 |
December 31, 2023 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $3,652,000K ÷ $941,600K
= 3.88
Snap-On Inc's current ratio has shown a consistent upward trend over the past several quarters, indicating a strengthening liquidity position. As of December 31, 2023, the current ratio stands at 3.88, reflecting the company's ability to cover its short-term obligations with its current assets nearly four times over. This high current ratio suggests that Snap-On Inc has a strong capacity to meet its current liabilities without experiencing financial strain.
The gradual increase in the current ratio from 2.42 in June 2019 to 3.88 in December 2023 showcases improved liquidity management and efficient working capital utilization by Snap-On Inc. This trend indicates that the company has been able to optimize its current assets and liabilities effectively, resulting in a healthier liquidity position.
Investors and stakeholders may view the upward trend in Snap-On Inc's current ratio positively, as it signifies the company's ability to manage short-term financial obligations and indicates operational stability. Overall, the consistent improvement in the current ratio reflects a favorable liquidity position for Snap-On Inc.
Peer comparison
Dec 31, 2023