Pincon Spirit (NSE:PINCON) Current Ratio: 1.48 (As of Sep. 2017)


What is Pincon Spirit Current Ratio?

Pincon Spirit NSE:PINCON Current Ratio is 1.48 as of Sep. 2017.

The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Pincon Spirit's current ratio for the quarter that ended in Sep. 2017 was 1.48.

Pincon Spirit has a current ratio of 1.48. It generally indicates good short-term financial strength.

The historical rank and industry rank for Pincon Spirit's Current Ratio or its related term are showing as below:

NSE:PINCON's Current Ratio is not ranked *
in the Beverages - Alcoholic industry.
Industry Median: 1.795
* Ranked among companies with meaningful Current Ratio only.

Pincon Spirit  (NSE:PINCON) Current Ratio Explanation

The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.

Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.

The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.

If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.

Pincon Spirit Current Ratio Related Terms

Pincon Spirit Current Ratio Historical Data

* Premium members only.

The historical data trend for Pincon Spirit's Current Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Pincon Spirit Current Ratio Chart

Pincon Spirit Annual Data
Trend Mar14 Mar15 Mar16 Mar17
Current Ratio
1.93 1.73 1.43 1.40

Pincon Spirit Semi-Annual Data
Mar14 Mar15 Mar16 Sep16 Mar17 Sep17
Current Ratio Get a 7-Day Free Trial 1.73 1.43 1.54 1.40 1.48

NSE:PINCON vs THST, JCTG, VDKB: Current Ratio Comparison

For the Beverages - Wineries & Distilleries subindustry, Pincon Spirit's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Pincon Spirit Current Ratio vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Pincon Spirit's Current Ratio distribution charts can be found below:

* The bar in red indicates where Pincon Spirit's Current Ratio falls into.


Pincon Spirit Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Pincon Spirit's Current Ratio for the fiscal year that ended in Mar. 2017 is calculated as

Current Ratio (A: Mar. 2017 )=Total Current Assets (A: Mar. 2017 )/Total Current Liabilities (A: Mar. 2017 )
=4767.738/3399.646
=1.40

Pincon Spirit's Current Ratio for the quarter that ended in Sep. 2017 is calculated as

Current Ratio (Q: Sep. 2017 )=Total Current Assets (Q: Sep. 2017 )/Total Current Liabilities (Q: Sep. 2017 )
=5411.613/3655.076
=1.48

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Current Ratio →
What does a Current Ratio of 1.48 mean?
Pincon Spirit (NSE:PINCON) has a Current Ratio of 1.48 as of Sep. 2017.
Is Pincon Spirit's Current Ratio too high?
Pincon Spirit's current Current Ratio is 1.48. The Beverages - Alcoholic industry median Current Ratio is 1.80. Pincon Spirit's value of 1.48 is 17.5% below this industry median.
How does Pincon Spirit's Current Ratio compare to THST and JCTG?
Pincon Spirit's Current Ratio of 1.48 can be compared against companies in the Beverages - Alcoholic industry. The industry median Current Ratio is 1.80. Pincon Spirit's value of 1.48 is 17.5% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Beverages - Alcoholic company?
The median Current Ratio among Beverages - Alcoholic companies is 1.80, based on 214 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Pincon Spirit's current Current Ratio of 1.48 is 17.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Beverages - Alcoholic industry, the median Current Ratio is 1.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pincon Spirit's current Current Ratio is 1.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pincon Spirit stock overvalued right now?
Pincon Spirit (NSE:PINCON) has a current Current Ratio of 1.48. The current Current Ratio is 1.48 and 17.5% below the Beverages - Alcoholic industry median of 1.80. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Pincon Spirit (NSE:PINCON), the current Current Ratio is 1.48 as of Sep. 2017. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Pincon Spirit Business Description

Address Number 103, 3rd Floor, Samskruthi Chambers, K.H Road, Shanthi Nagar, Bengaluru, KA, IND, 560027
Pincon Spirit Ltd is engaged in blending, bottling and wholesale distributions of Indian Made Foreign Liquor (IMFL), Indian Made Indian Liquor (IMIL) and refining, packaging and wholesale distributions of fast moving consumer goods. The company derives its revenue from its Indian Made Foreign Liquor (IMFL), Indian Made Indian Liquor (IMIL) segment. The Edible oils business segment is engaged in the manufacture of edible oils and the Company owns a refining and packaging unit.