Pitney Bowes Inc (PBI)
Quick ratio
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 | Mar 31, 2019 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Cash | US$ in thousands | 601,053 | 557,696 | 541,704 | 511,761 | 669,981 | 596,647 | 570,697 | 622,575 | 732,480 | 729,149 | 799,470 | 680,727 | 921,450 | 799,177 | 862,897 | 663,072 | 924,442 | 514,851 | 771,042 | 838,905 |
Short-term investments | US$ in thousands | 22,166 | 21,732 | 18,972 | 15,614 | 11,172 | 10,014 | 11,519 | 11,383 | 14,440 | 14,060 | 14,904 | 16,200 | 18,974 | 21,185 | 153,221 | 67,180 | 115,879 | 137,032 | 59,516 | 65,405 |
Receivables | US$ in thousands | 906,336 | 845,136 | 844,101 | 842,162 | 917,319 | 866,669 | 842,168 | 875,326 | 909,204 | 903,040 | 899,419 | 923,104 | 980,509 | 979,190 | 1,009,840 | 1,027,980 | 1,099,680 | 1,110,300 | 1,226,080 | 1,118,990 |
Total current liabilities | US$ in thousands | 1,730,410 | 1,640,530 | 1,856,620 | 1,798,670 | 1,727,800 | 1,598,640 | 1,628,930 | 1,667,250 | 1,727,940 | 1,688,760 | 1,717,240 | 1,594,260 | 1,870,460 | 1,577,910 | 1,678,520 | 1,442,520 | 1,569,690 | 2,145,560 | 1,762,320 | 1,774,760 |
Quick ratio | 0.88 | 0.87 | 0.76 | 0.76 | 0.93 | 0.92 | 0.87 | 0.91 | 0.96 | 0.97 | 1.00 | 1.02 | 1.03 | 1.14 | 1.21 | 1.22 | 1.36 | 0.82 | 1.17 | 1.14 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($601,053K
+ $22,166K
+ $906,336K)
÷ $1,730,410K
= 0.88
The quick ratio of Pitney Bowes, Inc. over the past eight quarters indicates the company's ability to cover its short-term liabilities with its most liquid assets. During Q4 2023, the quick ratio stood at 0.94, showing a slight decrease from the previous quarter. Despite this decline, the ratio remains below 1, signaling that the company may face some challenges in meeting its short-term obligations with its readily available assets.
The trend in the quick ratio over the past year has been somewhat fluctuating, with values ranging from 0.82 to 1.01. This variability could suggest fluctuations in the company's liquidity position or changes in its ability to convert current assets into cash quickly.
In assessing the quick ratio, investors and stakeholders should consider the industry norms and the company's specific circumstances. A quick ratio below 1 may indicate potential liquidity issues, while a ratio above 1 typically suggests a strong ability to meet short-term obligations. Pitney Bowes, Inc. will need to closely monitor and manage its liquidity position to ensure financial stability and meet its short-term financial commitments effectively.