Ufp Industries Inc (UFPI)
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 | 2,503,020 | 2,613,520 | 2,554,030 | 2,514,420 | 2,502,090 | 2,522,730 | 2,415,060 | 2,267,010 | 2,262,110 | 2,436,360 | 2,376,440 | 2,472,420 | 2,073,480 | 1,922,750 | 2,122,500 | 1,737,060 | 1,538,360 | 1,512,110 | 1,236,600 | 1,060,910 |
| Total current liabilities | US$ in thousands | 512,448 | 606,031 | 588,388 | 525,018 | 567,976 | 603,727 | 556,004 | 530,359 | 611,835 | 802,861 | 823,993 | 903,202 | 776,042 | 666,670 | 731,317 | 612,059 | 463,749 | 493,604 | 435,212 | 329,255 |
| Current ratio | 4.88 | 4.31 | 4.34 | 4.79 | 4.41 | 4.18 | 4.34 | 4.27 | 3.70 | 3.03 | 2.88 | 2.74 | 2.67 | 2.88 | 2.90 | 2.84 | 3.32 | 3.06 | 2.84 | 3.22 |
December 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,503,020K ÷ $512,448K
= 4.88
The current ratio of Ufp Industries Inc has shown fluctuations over the past years. It stood at 3.22 as of March 31, 2020, indicating the company had $3.22 in current assets to cover each dollar of current liabilities. The ratio decreased to 2.67 by December 31, 2021, before gradually increasing to 4.88 by December 31, 2024.
A current ratio above 1 indicates that the company has more current assets than current liabilities, showing a strong ability to cover short-term obligations. Generally, a ratio of 2 or higher is considered healthy. Ufp Industries Inc's current ratio has mostly been above 2, suggesting a comfortable liquidity position.
However, it is important to note the fluctuations in the current ratio, as sudden drops could indicate potential liquidity issues or inefficiencies in managing current assets and liabilities. The upward trend in recent years is a positive sign for the company's short-term financial stability. Monitoring this ratio consistently is crucial to assess the company's liquidity and financial health.