The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. It is calculated as a company's Total Current Assets excludes Total Inventories divides by its Total Current Liabilities. Legacy Iron Ore's quick ratio for the quarter that ended in Sep. 2024 was 0.76.
Legacy Iron Ore has a quick ratio of 0.76. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Legacy Iron Ore's Quick Ratio or its related term are showing as below:
ASX:LCY'
s Quick Ratio Range Over the Past 10 Years
Min: 0.76 Med: 32.53 Max: 51.77
Current: 0.76
During the past 13 years, Legacy Iron Ore's highest Quick Ratio was 51.77. The lowest was 0.76. And the median was 32.53.
ASX:LCY's Quick Ratio is ranked worse than 66.48% of 2625
companies
in the Metals & Mining industry
Industry Median: 1.51
vs ASX:LCY: 0.76
Legacy Iron Ore Quick Ratio Historical Data
The historical data trend for Legacy Iron Ore's Quick 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.
Competitive Comparison of Legacy Iron Ore's Quick Ratio
For the Other Industrial Metals & Mining subindustry, Legacy Iron Ore's Quick Ratio, along with its competitors' market caps and Quick 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.
Legacy Iron Ore's Quick Ratio Distribution in the Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Legacy Iron Ore's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Legacy Iron Ore's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Legacy Iron Ore's Quick Ratio for the fiscal year that ended in Mar. 2024 is calculated as
* 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.
Legacy Iron Ore (ASX:LCY) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Legacy Iron Ore Quick Ratio Related Terms
Thank you for viewing the detailed overview of Legacy Iron Ore's Quick Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Legacy Iron Ore Ltd is engaged in the exploration and development of mineral properties. It holds a diverse portfolio of assets spanning iron ore, gold, and base metals, Tungsten, Rare earth elements. Its projects include the Mt Bevan Project, South Laverton Gold Project, Mt. Celia Project, and many more. The Company operates with three reportable segments: iron ore exploration and development in Australia, gold exploration and development in Australia, and base metals and other critical minerals (OCM) exploration and development in Australia. Each segment focuses on the respective mineral's exploration and development within Australia's resource-rich landscape.
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