Scholastic Corporation (SCHL)
Quick ratio
| May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 113,700 | 110,400 | 149,500 | 125,800 | 224,500 | 198,800 | 261,100 | 239,700 | 316,600 | 308,900 | 300,700 | 308,600 | 366,500 | 353,200 | 356,600 | 355,500 | 393,800 | 263,800 | 277,800 | 199,400 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 250,200 | 282,900 | 323,400 | 235,300 | 286,900 | 290,200 | 363,300 | 283,300 | 326,200 | 310,600 | 383,100 | 279,700 | 344,900 | 339,300 | 396,600 | 322,800 | 329,800 | 281,200 | 325,100 | 226,100 |
| Total current liabilities | US$ in thousands | 534,700 | 608,500 | 636,700 | 598,700 | 602,300 | 636,900 | 724,700 | 668,300 | 619,700 | 659,200 | 671,700 | 661,600 | 695,500 | 730,000 | 606,600 | 563,500 | 501,500 | 630,300 | 650,700 | 625,400 |
| Quick ratio | 0.68 | 0.65 | 0.74 | 0.60 | 0.85 | 0.77 | 0.86 | 0.78 | 1.04 | 0.94 | 1.02 | 0.89 | 1.02 | 0.95 | 1.24 | 1.20 | 1.44 | 0.86 | 0.93 | 0.68 |
May 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($113,700K
+ $—K
+ $250,200K)
÷ $534,700K
= 0.68
The quick ratio of Scholastic Corporation has exhibited fluctuations over the recent periods, ranging from 0.60 to 1.44. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets excluding inventory. A quick ratio below 1 indicates that the company may have difficulty meeting its current liabilities.
In the most recent period, the quick ratio stood at 0.68, indicating that Scholastic Corporation may have had some difficulty in meeting its short-term obligations. However, it is important to consider the industry benchmarks and historical trends of the company to assess whether this level is a cause for concern.
Overall, a quick ratio that is consistently below 1 may signify potential liquidity issues, as the company may not have enough liquid assets to cover its short-term obligations. Investors and creditors typically prefer to see a quick ratio above 1 to ensure a healthy level of liquidity and financial stability.
Peer comparison
May 31, 2024