Paylocity Holdng (PCTY)
Quick ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 401,811 | 288,767 | 139,756 | 202,287 | 250,851 |
| Short-term investments | US$ in thousands | — | — | 4,456 | 4,456 | 34,556 |
| Receivables | US$ in thousands | 40,066 | 29,433 | 15,754 | 6,267 | 4,923 |
| Total current liabilities | US$ in thousands | 3,117,360 | 2,774,800 | 4,120,530 | 1,867,020 | 1,408,940 |
| Quick ratio | 0.14 | 0.11 | 0.04 | 0.11 | 0.21 |
June 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($401,811K
+ $—K
+ $40,066K)
÷ $3,117,360K
= 0.14
The quick ratio of Paylocity Holdng has varied over the past five years. The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 indicates that a company may have difficulty meeting its short-term liabilities.
In 2024, the quick ratio was 0.14, showing an improvement compared to the previous year. This suggests that the company had a better ability to cover its short-term obligations using its liquid assets in 2024.
In 2023, the quick ratio was 0.11, indicating a slight improvement from the previous year. However, the ratio was still below 1, suggesting a relatively weaker liquidity position.
In 2022, the quick ratio was only 0.04, reflecting a significant decline from the previous year. This indicates a potential liquidity concern for the company in meeting its short-term liabilities with its available liquid assets.
In 2021, the quick ratio was 0.11, showing a slight improvement from the previous year. While still below 1, the company's ability to cover short-term obligations was relatively better compared to 2022.
In 2020, the quick ratio was 0.21, indicating a stronger liquidity position compared to the following years. The company had a better ability to cover its short-term liabilities with its liquid assets in 2020.
Overall, it is important for Paylocity Holdng to monitor and manage its liquidity position to ensure it can meet its short-term obligations efficiently.
Peer comparison
Jun 30, 2024