Medtronic PLC (MDT)
Quick ratio
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Apr 26, 2024 | Jan 31, 2024 | Jan 26, 2024 | Oct 31, 2023 | Oct 27, 2023 | Jul 31, 2023 | Jul 28, 2023 | Apr 30, 2023 | Apr 28, 2023 | Jan 31, 2023 | Jan 27, 2023 | Oct 31, 2022 | Oct 28, 2022 | Jul 31, 2022 | Jul 29, 2022 | Apr 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 1,240,000 | 1,394,000 | 1,311,000 | 1,284,000 | 1,284,000 | 1,623,000 | 1,623,000 | 1,311,000 | 1,311,000 | 1,339,000 | 1,339,000 | 1,543,000 | 1,543,000 | 4,521,000 | 4,521,000 | 4,828,000 | 4,828,000 | 2,140,000 | 2,140,000 | 3,714,000 |
| Short-term investments | US$ in thousands | 6,682,000 | 6,595,000 | 6,532,000 | 6,721,000 | 6,721,000 | 6,698,000 | 6,698,000 | 6,423,000 | 6,423,000 | 6,537,000 | 6,537,000 | 6,416,000 | 6,416,000 | 6,616,000 | 6,616,000 | 6,602,000 | 6,602,000 | 6,733,000 | 6,733,000 | 6,859,000 |
| Receivables | US$ in thousands | — | — | — | — | 6,128,000 | — | 5,968,000 | — | 5,934,000 | — | 5,806,000 | — | 5,998,000 | — | 5,887,000 | — | 5,626,000 | — | 5,308,000 | — |
| Total current liabilities | US$ in thousands | 11,840,000 | 12,195,000 | 10,287,000 | 10,789,000 | 10,789,000 | 9,793,000 | 9,793,000 | 9,659,000 | 9,659,000 | 9,047,000 | 9,047,000 | 9,051,000 | 9,051,000 | 14,422,000 | 14,422,000 | 14,465,000 | 14,465,000 | 14,049,000 | 14,049,000 | 12,394,000 |
| Quick ratio | 0.67 | 0.66 | 0.76 | 0.74 | 1.31 | 0.85 | 1.46 | 0.80 | 1.42 | 0.87 | 1.51 | 0.88 | 1.54 | 0.77 | 1.18 | 0.79 | 1.18 | 0.63 | 1.01 | 0.85 |
January 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,240,000K
+ $6,682,000K
+ $—K)
÷ $11,840,000K
= 0.67
The quick ratio of Medtronic PLC has displayed fluctuations over the periods provided, ranging from a low of 0.63 to a high of 1.54. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets.
It is important to note that a quick ratio below 1 indicates that the company may have difficulty meeting its short-term liabilities using its current liquid assets alone. Conversely, a quick ratio above 1 suggests that the company has sufficient liquid assets to cover its short-term liabilities.
Based on the data provided:
- The quick ratio as of January 31, 2023, and April 28, 2023, were 0.77 and 1.54 respectively, indicating an improvement in the company's liquidity position.
- However, the quick ratio as of October 31, 2023, and April 30, 2024, declined to 0.80 and 0.74 respectively, suggesting a potential strain on the company's ability to meet short-term obligations.
- The quick ratio as of January 31, 2025, remained at a low level of 0.67, signaling a continued challenge in liquidity management.
Overall, the trend of the quick ratio for Medtronic PLC shows variability, and it would be important for the company to monitor and manage its liquidity position effectively to ensure financial stability and meet its short-term obligations.
Peer comparison
Jan 31, 2025