Broadridge Financial Solutions Inc (BR)
Quick ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 304,400 | 252,300 | 224,700 | 274,500 | 476,600 |
| Short-term investments | US$ in thousands | 800 | 700 | 600 | 700 | 500 |
| Receivables | US$ in thousands | -9,700 | -7,200 | -6,800 | -9,300 | -9,800 |
| Total current liabilities | US$ in thousands | 1,421,800 | 2,397,800 | 1,313,400 | 1,288,000 | 1,341,000 |
| Quick ratio | 0.21 | 0.10 | 0.17 | 0.21 | 0.35 |
June 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($304,400K
+ $800K
+ $-9,700K)
÷ $1,421,800K
= 0.21
The quick ratio of Broadridge Financial Solutions Inc has varied over the past five years, ranging from 0.10 to 0.35. A quick ratio below 1 indicates that the company may have difficulty meeting its short-term obligations with its most liquid assets.
In 2023, the quick ratio was particularly low at 0.10, suggesting a potential liquidity challenge. However, the ratio improved in 2024 to 0.21, although it is still below 1, indicating that the company may still face liquidity constraints.
Overall, the downward trend in the quick ratio from 2020 to 2023 could be concerning, but the slight improvement in 2024 may signal a positive development. It is important for Broadridge Financial Solutions Inc to continue monitoring and managing its liquidity position effectively to ensure it can meet its short-term obligations efficiently.
Peer comparison
Jun 30, 2024