Helmerich and Payne Inc (HP)
Quick ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 217,341 | 257,174 | 232,131 | 917,534 | 487,884 |
| Short-term investments | US$ in thousands | 292,919 | 93,600 | 117,101 | 198,700 | 89,335 |
| Receivables | US$ in thousands | 418,604 | 404,188 | 458,713 | 228,894 | 192,623 |
| Total current liabilities | US$ in thousands | 446,949 | 418,931 | 394,810 | 866,306 | 219,136 |
| Quick ratio | 2.08 | 1.80 | 2.05 | 1.55 | 3.51 |
September 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($217,341K
+ $292,919K
+ $418,604K)
÷ $446,949K
= 2.08
The quick ratio for Helmerich and Payne Inc has shown variability over the past five years. The company's quick ratio has fluctuated between 1.55 and 3.51 during this period.
In 2020, the quick ratio was at its highest value of 3.51, indicating a strong ability to meet its short-term obligations using its most liquid assets. This high ratio suggests that the company had a comfortable cushion of liquid assets to cover its current liabilities.
The quick ratio decreased to 1.55 in 2021, indicating a decline in the company's ability to cover its short-term obligations with its quick assets alone. This may suggest potential liquidity concerns or increased reliance on less liquid assets to meet current liabilities.
In 2022, the quick ratio improved to 2.05, showing a positive trend in the company's liquidity position. However, in 2023, the quick ratio decreased slightly to 1.80, which might suggest a slight weakening in the company's ability to quickly cover its short-term obligations using liquid assets.
The most recent quick ratio for 2024 stands at 2.08, indicating a modest improvement in the company's liquidity position compared to the previous year. Overall, the fluctuation in the quick ratio over the past five years suggests varying levels of liquidity and ability to cover short-term obligations with liquid assets for Helmerich and Payne Inc. Further analysis of the company's current assets and liabilities would be necessary to gain a more comprehensive understanding of its liquidity position.
Peer comparison
Sep 30, 2024