Pentair PLC (PNR)
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 | 170,300 | 137,000 | 141,600 | 119,200 | 108,900 | 118,800 | 135,100 | 102,300 | 94,500 | 173,200 | 95,900 | 95,000 | 82,100 | 82,600 | 90,600 | 169,300 | 82,500 | 113,200 | 80,500 | 78,900 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | -11,200 | -10,700 | -10,900 | -11,400 | -10,800 | -10,300 | -12,300 | -12,000 | -9,100 | -9,800 | -9,300 | -8,000 | -8,400 | -8,700 | -8,800 | -8,600 | -10,300 | -13,400 | -13,700 | -14,700 |
| Total current liabilities | US$ in thousands | 949,600 | 1,001,900 | 1,060,600 | 1,001,600 | 1,063,100 | 1,100,500 | 1,056,100 | 1,014,400 | 1,051,700 | 1,016,000 | 931,100 | 823,900 | 772,500 | 818,900 | 750,600 | 682,800 | 749,000 | 694,200 | 710,200 | 705,300 |
| Quick ratio | 0.17 | 0.13 | 0.12 | 0.11 | 0.09 | 0.10 | 0.12 | 0.09 | 0.08 | 0.16 | 0.09 | 0.11 | 0.10 | 0.09 | 0.11 | 0.24 | 0.10 | 0.14 | 0.09 | 0.09 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($170,300K
+ $—K
+ $-11,200K)
÷ $949,600K
= 0.17
The quick ratio of Pentair plc provides insight into the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio below 1 suggests that Pentair may have difficulty covering its short-term liabilities with its current liquid assets.
Based on the data provided:
- In Q4 2023, the quick ratio was 0.94, indicating a slight improvement from the previous quarter.
- The quick ratio fluctuated between 0.77 and 0.98 over the past eight quarters, showing some volatility in Pentair's short-term liquidity position.
- Overall, the quick ratio has generally remained below 1, suggesting potential challenges in meeting immediate financial obligations.
It is crucial for Pentair to monitor and potentially improve its quick ratio to ensure it has an adequate cushion of liquid assets to cover short-term liabilities, thereby safeguarding its financial stability.
Peer comparison
Dec 31, 2023