MillerKnoll Inc (MLKN)
Quick ratio
| May 31, 2024 | Jun 3, 2023 | May 31, 2023 | May 31, 2022 | May 28, 2022 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 230,400 | 223,500 | 223,500 | 230,300 | 230,300 |
| Short-term investments | US$ in thousands | — | — | — | 7,700 | 7,700 |
| Receivables | US$ in thousands | — | 363,500 | — | — | 380,900 |
| Total current liabilities | US$ in thousands | 697,700 | 702,800 | 702,800 | 872,600 | 877,400 |
| Quick ratio | 0.33 | 0.84 | 0.32 | 0.27 | 0.71 |
May 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($230,400K
+ $—K
+ $—K)
÷ $697,700K
= 0.33
The quick ratio of MillerKnoll Inc, which is a measure of the company's ability to meet its short-term liabilities with its most liquid assets, has displayed some fluctuations over the past few years.
In May 2022, the quick ratio stood at 0.71, indicating that the company had $0.71 of liquid assets available to cover each dollar of its current liabilities. This ratio declined significantly to 0.27 by the end of May 2022, suggesting potential liquidity challenges during that period.
Subsequently, there was a slight improvement in the quick ratio to 0.32 in May 2023, followed by a more substantial increase to 0.84 by June 3, 2023. This improvement may indicate that MillerKnoll Inc was able to enhance its liquidity position and better manage its short-term obligations during this period.
However, by May 31, 2024, the quick ratio decreased again to 0.33, indicating a potential decrease in liquidity compared to the previous year. Overall, the fluctuation in the quick ratio of MillerKnoll Inc suggests varying levels of liquidity management and potential implications for the company's ability to meet its short-term financial obligations in the future.