Premier Inc (PINC)
Quick ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 125,146 | 89,793 | 86,143 | 129,141 | 99,304 |
| Short-term investments | US$ in thousands | — | — | — | 153,224 | — |
| Receivables | US$ in thousands | 126,694 | 115,295 | 114,129 | 141,447 | 135,063 |
| Total current liabilities | US$ in thousands | 746,563 | 815,463 | 753,137 | 716,784 | 496,074 |
| Quick ratio | 0.34 | 0.25 | 0.27 | 0.59 | 0.47 |
June 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($125,146K
+ $—K
+ $126,694K)
÷ $746,563K
= 0.34
The quick ratio of Premier Inc has shown fluctuations over the past five years, ranging from 0.25 to 0.59. In the most recent fiscal year ending June 30, 2024, the quick ratio stands at 0.34, indicating an ability to cover immediate liabilities with liquid assets. However, it is lower than the ratio reported in the previous fiscal year, which was 0.59, suggesting a potential decline in short-term liquidity. The quick ratio in 2024 is also below the ideal industry benchmark of 1, indicating a relatively weaker liquidity position. Premier Inc may need to closely monitor its ability to meet short-term obligations using its current assets, particularly cash and marketable securities, to ensure financial stability and operational continuity.
Peer comparison
Jun 30, 2024