The FHR: A clear, predictive view of supplier financial health

See financial performance clearly, across public and private companies. Catch early warning signs of financial stress. The FHR gives enterprises and suppliers one forward-looking financial health rating that they can act on.

The FHR® was shortlisted for Best RegTech Solution

– Banking Tech Awards USA 2026

How the FHR is calculated

Every FHR is built from actual financial statements sourced directly from a company. Our models, based on more than 12 million company-years of data, generate a ratingscore from 0 to 100 that captures that company’s financial health, risk exposure, and probability of default.

The FHR includes: 

The Core Health Score

Measures medium-term efficiency and sustainability, based on operational efficiency and competitiveness.

Resilience Indicators

Measures financial resilience and offers additional context to produce the ultimate rating.

The FHR Report

A full assessment of a company’s current financial health and historical risk trends. 

Proof in the Numbers

Proven to predict financial distress

92
%
of companies filing for bankruptcy had High or Very High Risk FHRs
25
The average FHR at the time a company defaults
24
mo.
The average warning time clients receive before a vendor bankruptcy
500
K
ratings produced in 150 countries worldwide

The scale & risk levels

See what happens to a company as financial health declines.

Very low risk

Probability of default: Less than 0.007%

Very low risk companies are the strongest and most resilient companies in the short term. They make for the most reliable business partners and have the greatest potential for opportunity and growth.

Low risk

Probability of default: 0.008 – 0.1%

Low risk companies are financially healthy, strong, and resilient in the face of economic and geopolitical challenges. Their FHR suggests high levels of efficiency and a strong foundation, supporting long-term viability and sustainable performance.

Medium risk

Probability of default: 0.11 – 0.89%

Medium risk companies have acceptable levels of efficiency in the short term but may show signs of deteriorating financial health or other challenges. To be a viable partner in the long term, they may need to improve.

High risk

Probability of default: 1 – 11.4%

High risk companies are experiencing low levels of efficiency and unsustainable business practice. Risk mitigation action is highly recommended to avoid disruptions and losses.

Very high risk

Probability of default: Greater than 13.3%

Low risk companies are financially healthy, strong, and resilient in the face of economic and geopolitical challenges. Their FHR suggests high levels of efficiency and a strong foundation, supporting long-term viability and sustainable performance.

Financial health in motion

See supply chain risk management in action

Understand how Fortune Brands used RapidRatings' data to evaluate their global private suppliers and build a more resilient supply chain.

Get a sample FHR Report

Reveal the financial health and risk level of any public company. See how the FHR can help you fuel better business performance.

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