Berry Global Group Inc (BERY)
Quick ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,203,000 | 1,410,000 | 1,091,000 | 750,000 | 750,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — |
| Receivables | US$ in thousands | 1,568,000 | 1,777,000 | 1,879,000 | 1,469,000 | 1,526,000 |
| Total current liabilities | US$ in thousands | 2,713,000 | 2,844,000 | 3,186,000 | 2,183,000 | 2,039,000 |
| Quick ratio | 1.02 | 1.12 | 0.93 | 1.02 | 1.12 |
September 30, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,203,000K
+ $—K
+ $1,568,000K)
÷ $2,713,000K
= 1.02
The quick ratio of Berry Global Group Inc has demonstrated some fluctuations over the past five years. The quick ratio, which measures the company's ability to meet its short-term obligations with its most liquid assets, was 1.10 as of September 30, 2023. This indicates that the company had $1.10 in current assets that could be quickly converted to cash for every $1 of current liabilities.
Comparing this to previous years, the quick ratio was higher in October 2022 and September 2019 at 1.18 and 1.19, respectively, suggesting a higher level of liquidity in these periods. However, the quick ratio was lower in October 2021 and September 2020 at 1.00 and 1.09, which could indicate reduced liquidity compared to other periods.
Overall, the company's ability to meet short-term obligations with its most liquid assets has been relatively healthy, with some fluctuations observed in the quick ratio over the past five years. It may be important to further investigate the factors driving these fluctuations to gain a deeper understanding of the company's liquidity position.
Peer comparison
Sep 30, 2023