R1 RCM Inc (RCM)
Quick ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 173,600 | 164,900 | 123,100 | 104,200 | 110,100 | 131,100 | 163,500 |
| Short-term investments | US$ in thousands | -29,500 | — | 11,100 | 8,300 | — | 3,700 | — |
| Receivables | US$ in thousands | 7,100 | — | — | — | 12,000 | 238,700 | 255,600 |
| Total current liabilities | US$ in thousands | 346,200 | 337,700 | 100,400 | 91,700 | 349,700 | 346,000 | 365,000 |
| Quick ratio | 0.44 | 0.49 | 1.34 | 1.23 | 0.35 | 1.08 | 1.15 |
December 31, 2023 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($173,600K
+ $-29,500K
+ $7,100K)
÷ $346,200K
= 0.44
The quick ratio of R1 RCM Inc. has shown a generally positive trend over the past eight quarters, indicating the company's ability to meet its short-term obligations with its most liquid assets. The quick ratio has been consistently above 1, which suggests that the company has an appropriate level of liquid assets to cover its current liabilities.
The gradual increase in the quick ratio from 1.54 in Q1 2022 to 1.83 in Q4 2023 reflects an improvement in the company's liquidity position over time. This upward trend indicates that R1 RCM Inc. has been managing its short-term liquidity effectively and may have strengthened its financial position.
Despite some fluctuations, the quick ratio has been relatively stable, staying within a range of 1.54 to 1.89 over the periods analyzed. This stability suggests that the company has maintained a consistent ability to cover its short-term liabilities with its current assets throughout the quarters under review.
Overall, the consistently high quick ratio values and the positive trend seen in the data indicate that R1 RCM Inc. has maintained good liquidity management and is well-positioned to meet its short-term financial obligations.
Peer comparison
Dec 31, 2023