Adtalem Global Education Inc (ATGE)

Quick ratio

		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	Dec 31, 2019	Sep 30, 2019
Cash	US$ in thousands	219,306	179,762	182,894	260,826	272,194	313,760	207,776	327,515	346,973	788,729	275,420	323,994	476,377	461,605	415,907	561,170	500,516	167,771	67,282	121,079
Short-term investments	US$ in thousands	—	14,000	13,300	1,612	1,495	1,613	18,100	17,000	17,800	20,200	21,600	36,101	18,236	10,890	10,541	9,434	8,968	7,754	9,229	8,763
Receivables	US$ in thousands	126,833	140,909	133,666	147,752	102,749	113,284	99,542	111,858	81,635	96,064	92,744	163,211	67,996	77,559	91,051	99,536	87,042	98,732	93,394	116,212
Total current liabilities	US$ in thousands	487,657	509,110	398,573	495,635	431,203	437,920	371,462	490,549	423,647	526,372	497,475	636,230	408,807	382,452	340,856	409,937	345,983	344,686	304,188	412,475
Quick ratio		0.71	0.66	0.83	0.83	0.87	0.98	0.88	0.93	1.05	1.72	0.78	0.82	1.38	1.44	1.52	1.63	1.72	0.80	0.56	0.60

June 30, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($219,306K + $—K + $126,833K) ÷ $487,657K
= 0.71

The quick ratio of Adtalem Global Education Inc has shown fluctuations over the past several quarters. The ratio measures the company's ability to cover its short-term obligations with its most liquid assets, excluding inventory.

In the most recent quarter, as of June 30, 2024, the quick ratio stood at 0.71, indicating that the company may have difficulty meeting its short-term liabilities using only its highly liquid assets. This ratio has declined compared to the previous quarter.

Looking at the trend over the past several quarters, the quick ratio has generally fluctuated between 0.56 and 1.72. There have been periods of both improvement and deterioration in the company's short-term liquidity position.

The quick ratio was highest in the quarter ending March 31, 2022, at 1.72, indicating a strong ability to cover short-term liabilities with highly liquid assets. On the other hand, the ratio was lowest in the quarter ending December 31, 2019, at 0.56, indicating a weaker liquidity position.

Overall, a quick ratio below 1 may suggest that the company may have difficulty meeting its short-term obligations without relying on potentially less liquid assets or external financing. It is important for investors and stakeholders to monitor this ratio closely to assess the company's short-term liquidity position and financial health.