OSI Systems Inc (OSIS)

Quick ratio

		Jun 30, 2025	Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021
Cash	US$ in thousands	106,405	95,353	76,750	64,202	80,613
Short-term investments	US$ in thousands	—	—	—	—	—
Receivables	US$ in thousands	837,743	648,155	380,845	307,973	290,653
Total current liabilities	US$ in thousands	696,938	814,637	571,694	613,954	344,767
Quick ratio		1.35	0.91	0.80	0.61	1.08

June 30, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($106,405K + $—K + $837,743K) ÷ $696,938K
= 1.35

The quick ratio of OSI Systems Inc. demonstrates notable fluctuation over the periods analyzed. As of June 30, 2021, the quick ratio stood at 1.08, indicating that the company possessed slightly more than enough liquid assets to cover its current liabilities, reflecting a relatively strong liquidity position. By June 30, 2022, the quick ratio declined significantly to 0.61, signaling a deterioration in liquidity and suggesting that the company's liquid assets fell short of meeting immediate obligations.

However, the ratio improved modestly over the subsequent years, reaching 0.80 as of June 30, 2023, which indicates a partial recovery in liquidity but still below the ideal level of 1.0. This trend continued upward, with the quick ratio rising to 0.91 by June 30, 2024, approaching a more comfortable liquidity position though not yet surpassing the adequacy benchmark. The most recent data as of June 30, 2025, shows a further increase to 1.35, signifying that the company now has a healthy buffer of liquid assets relative to its current liabilities, thereby enhancing its short-term financial stability.

Overall, the trajectory of OSI Systems Inc.'s quick ratio signifies periods of liquidity management challenges followed by gradual improvements, culminating in a strong liquidity stance as of mid-2025. This pattern reflects efforts to strengthen liquid asset holdings, though the ratio's notable decline in 2022 underscores the importance of monitoring liquidity strategies to sustain financial health.