Bellring Brands LLC (BRBR)

Quick ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Cash	US$ in thousands	71,100	48,400	35,800	152,600	48,700
Short-term investments	US$ in thousands	—	—	—	—	—
Receivables	US$ in thousands	220,400	168,200	173,300	103,900	83,100
Total current liabilities	US$ in thousands	203,700	150,200	143,500	251,300	153,100
Quick ratio		1.43	1.44	1.46	1.02	0.86

September 30, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($71,100K + $—K + $220,400K) ÷ $203,700K
= 1.43

The quick ratio of Bellring Brands LLC has been consistently strong over the past five years, reflecting the company's ability to meet its short-term obligations with its most liquid assets. The ratio has ranged from 0.86 in 2020 to 1.46 in 2022, indicating an improving liquidity position over the years.

A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its current liabilities. Bellring Brands LLC's quick ratio has been consistently above 1 since 2021, suggesting a healthy liquidity position and a lesser reliance on inventory to meet short-term obligations.

The slight decrease in the quick ratio from 1.46 in 2022 to 1.43 in 2024 may indicate a minor decrease in the company's ability to quickly cover its current liabilities with its liquid assets. However, a quick ratio of 1.43 is still considered strong and indicates that Bellring Brands LLC remains well-positioned to meet its short-term financial obligations.