Royal Gold Inc (RGLD)
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 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 74,232 | 137,950 | 104,167 | 102,901 | 106,157 | 126,816 | 118,586 | 122,238 | 280,617 | 183,707 | 160,208 | 225,916 | 370,260 | 381,859 | 413,116 | 319,128 | 93,715 | 80,504 | 121,970 | 119,475 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 16,000 |
| Receivables | US$ in thousands | 5,637 | 3,109 | 2,676 | 14,248 | 9,602 | 1,724 | 3,066 | 15,056 | 7,712 | 4,397 | 4,081 | 4,520 | 14,669 | 8,939 | 4,298 | 2,435 | 11,361 | 9,671 | 3,698 | 2,702 |
| Total current liabilities | US$ in thousands | 122,383 | 77,145 | 72,422 | 70,847 | 63,068 | 54,998 | 63,587 | 64,476 | 64,013 | 49,543 | 60,264 | 52,083 | 62,691 | 57,154 | 56,139 | 43,555 | 49,830 | 44,130 | 32,373 | 33,610 |
| Quick ratio | 0.65 | 1.83 | 1.48 | 1.65 | 1.84 | 2.34 | 1.91 | 2.13 | 4.50 | 3.80 | 2.73 | 4.42 | 6.14 | 6.84 | 7.44 | 7.38 | 2.11 | 2.04 | 3.88 | 4.11 |
June 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($74,232K
+ $—K
+ $5,637K)
÷ $122,383K
= 0.65
The quick ratio of Royal Gold Inc has displayed volatility over the past several quarters. The quick ratio measures the company's ability to cover its short-term liabilities with its most liquid assets.
The quick ratio was relatively low at 0.65 in the most recent quarter, Jun 30, 2024, indicating that the company may have difficulty meeting its short-term obligations using its liquid assets alone. However, compared to the previous quarter, the quick ratio had significantly improved to 1.83, suggesting a better ability to cover its short-term liabilities with liquid assets as of Mar 31, 2024.
The trend of the quick ratio over the past few years shows fluctuations but generally staying above 1, which is considered a good benchmark. The quick ratio peaked at 7.44 as of Dec 31, 2020, indicating a high level of liquidity and ability to settle short-term obligations comfortably using liquid assets.
It is essential for stakeholders to closely monitor the company's liquidity position, as a sustained low quick ratio could indicate potential liquidity issues and the need for improved cash management or asset liquidity.