Prestige Brand Holdings Inc (PBH)

Liquidity ratios

Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Current ratio 3.20 3.09 2.99 2.66 2.44 2.55 2.21 2.09 2.04 2.04 2.05 3.27 2.21 2.39 1.98 2.24 2.44 2.02 2.08 2.16
Quick ratio 1.91 1.87 1.68 1.44 1.40 1.52 1.24 1.17 1.16 1.15 1.27 2.35 1.20 1.41 1.09 1.29 1.64 1.16 1.16 1.20
Cash ratio 0.40 0.50 0.46 0.37 0.36 0.54 0.28 0.23 0.19 0.16 0.29 1.31 0.26 0.49 0.20 0.44 0.63 0.19 0.19 0.20

Prestige Brand Holdings Inc has shown a consistently strong liquidity position, as evidenced by its current ratio, quick ratio, and cash ratio. The current ratio has been consistently above 2 in recent periods, indicating that the company has more than enough current assets to cover its current liabilities. This suggests a healthy liquidity position and ability to meet short-term obligations.

Similarly, the quick ratio, which excludes inventory from current assets, has also been at comfortable levels above 1 in each period. This indicates that Prestige Brand Holdings Inc can quickly cover its short-term liabilities without relying on selling inventory.

The cash ratio, which measures the company's ability to cover its current liabilities with cash and cash equivalents, has shown stability and improvement over time. Although it fluctuates, the cash ratio has generally been above 0.2 in recent periods, indicating that the company maintains a solid cash position relative to its short-term obligations.

Overall, Prestige Brand Holdings Inc's liquidity ratios reflect a strong financial position and ability to meet its short-term obligations effectively.

Additional liquidity measure

Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019
Cash conversion cycle days 130.01 134.64 135.29 131.15 126.25 122.16 111.86 106.89 97.36 100.15 111.75 114.70 107.97 123.96 99.08 118.21 104.72 119.11 110.08 115.33

The cash conversion cycle of Prestige Brand Holdings Inc has shown fluctuations over the past few quarters. The company's cash conversion cycle is the time it takes for the company to convert its investments in inventory and other resources into cash flow from sales.

Analyzing the data from the table, we can observe that the cash conversion cycle has ranged from a low of 97.36 days to a high of 135.29 days during the period under consideration. A shorter cash conversion cycle is generally more favorable as it indicates that the company is efficiently managing its working capital.

In the most recent quarter, ending on March 31, 2024, the cash conversion cycle was 130.01 days. This suggests that the company takes approximately 130 days to convert its investments in inventory and other resources into cash flow from sales.

It's important for Prestige Brand Holdings Inc to monitor and manage its cash conversion cycle effectively to ensure optimal use of its working capital and maintain healthy cash flow levels. Fluctuations in the cash conversion cycle may be influenced by factors such as inventory management, accounts receivable collection, and accounts payable payment terms. Tracking these metrics can help the company make informed decisions to improve its cash conversion cycle and overall financial performance.