Premier Inc (PINC)
Quick ratio
| Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 125,146 | 61,856 | 371,110 | 453,261 | 89,793 | 91,493 | 94,623 | 176,630 | 86,143 | 179,503 | 86,161 | 184,421 | 129,141 | 132,584 | 109,013 | 120,416 | 99,304 | 241,734 | 111,570 | 125,244 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | 186,282 | 153,224 | 153,747 | 148,245 | — | — | — | — | — |
| Receivables | US$ in thousands | 126,694 | 121,159 | 122,300 | 102,122 | 115,295 | 115,289 | 120,917 | 105,226 | 114,129 | 125,632 | 137,902 | 139,111 | 141,447 | 188,519 | 166,438 | 131,783 | 135,063 | 139,902 | 166,907 | 157,830 |
| Total current liabilities | US$ in thousands | 746,563 | 725,679 | 693,695 | 770,526 | 815,463 | 900,332 | 934,028 | 838,001 | 753,137 | 863,175 | 723,010 | 757,041 | 716,784 | 852,845 | 704,872 | 668,064 | 496,074 | 686,183 | 450,242 | 410,631 |
| Quick ratio | 0.34 | 0.25 | 0.71 | 0.72 | 0.25 | 0.23 | 0.23 | 0.34 | 0.27 | 0.35 | 0.31 | 0.67 | 0.59 | 0.56 | 0.60 | 0.38 | 0.47 | 0.56 | 0.62 | 0.69 |
June 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($125,146K
+ $—K
+ $126,694K)
÷ $746,563K
= 0.34
Premier Inc's quick ratio has shown significant fluctuation over the past few quarters. 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 the company may have difficulty meeting its short-term financial obligations.
Looking at the data provided, Premier Inc's quick ratio ranged from a low of 0.23 to a high of 0.72 over the past few quarters. The quick ratio was consistently below 1 for most quarters, which suggests potential liquidity challenges for the company.
The quick ratio saw a notable improvement in the most recent quarter, reaching 0.71, indicating a better ability to cover short-term liabilities with its quick assets. However, it is essential to monitor this ratio over subsequent quarters to determine if the improvement is sustainable or simply a temporary fluctuation.
Overall, Premier Inc's quick ratio indicates a varying ability to cover short-term obligations with liquid assets, and stakeholders should closely monitor this metric to assess the company's liquidity position.
Peer comparison
Jun 30, 2024