Pembury Lifestyle Group (JSE:PEM) Quick Ratio: 0.41 (As of Jun. 2019)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is Pembury Lifestyle Group Quick Ratio?

Pembury Lifestyle Group JSE:PEM Quick Ratio is 0.41 as of Jun. 2019.

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. Pembury Lifestyle Group's quick ratio for the quarter that ended in Jun. 2019 was 0.41.

Pembury Lifestyle Group has a quick ratio of 0.41. It indicates that the company cannot currently fully pay back its current liabilities.

The historical rank and industry rank for Pembury Lifestyle Group's Quick Ratio or its related term are showing as below:

JSE:PEM's Quick Ratio is not ranked *
in the Education industry.
Industry Median: 1.36
* Ranked among companies with meaningful Quick Ratio only.

Pembury Lifestyle Group  (JSE:PEM) 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.


Pembury Lifestyle Group Quick Ratio Related Terms


Pembury Lifestyle Group Quick Ratio Historical Data

* Premium members only.

The historical data trend for Pembury Lifestyle Group'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.

Pembury Lifestyle Group Quick Ratio Chart

Pembury Lifestyle Group Annual Data
Trend Feb14 Feb15 Feb16 Dec17 Dec18
Quick Ratio
0.00 0.00 0.15 2.05 0.09

Pembury Lifestyle Group Semi-Annual Data
Feb14 Feb15 Feb16 Aug16 Jun17 Dec17 Jun18 Dec18 Jun19
Quick Ratio Get a 7-Day Free Trial Premium Member Only 0.71 2.05 1.84 0.09 0.41

JSE:PEM vs TAL, EDU, CHGG: Quick Ratio Comparison

For the Education & Training Services subindustry, Pembury Lifestyle Group'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.


Pembury Lifestyle Group Quick Ratio vs Education Industry

For the Education industry and Consumer Defensive sector, Pembury Lifestyle Group's Quick Ratio distribution charts can be found below:

* The bar in red indicates where Pembury Lifestyle Group's Quick Ratio falls into.



Pembury Lifestyle Group Quick Ratio Calculation

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.

Pembury Lifestyle Group's Quick Ratio for the fiscal year that ended in Dec. 2018 is calculated as

Quick Ratio (A: Dec. 2018 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(5.693-0)/62.873
=0.09

Pembury Lifestyle Group's Quick Ratio for the quarter that ended in Jun. 2019 is calculated as

Quick Ratio (Q: Jun. 2019 )=(Total Current Assets-Total Inventories)/Total Current Liabilities
=(38.202-0)/94.06
=0.41

* 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 Quick Ratio →
What does a Quick Ratio of 0.41 mean?
Pembury Lifestyle Group (JSE:PEM) has a Quick Ratio of 0.41 as of Jun. 2019. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Pembury Lifestyle Group and its competitors.
Is Pembury Lifestyle Group's Quick Ratio too high?
Pembury Lifestyle Group's current Quick Ratio is 0.41. The Education industry median Quick Ratio is 1.36. Pembury Lifestyle Group's value of 0.41 is 69.9% below this industry median.
How does Pembury Lifestyle Group's Quick Ratio compare to TAL and EDU?
Pembury Lifestyle Group's Quick Ratio of 0.41 can be compared against companies in the Education industry. The industry median Quick Ratio is 1.36. Pembury Lifestyle Group's value of 0.41 is 69.9% 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 Quick Ratio for an Education company?
The median Quick Ratio among Education companies is 1.36, based on 261 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Pembury Lifestyle Group's current Quick Ratio of 0.41 is 69.9% 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 Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Pembury Lifestyle Group and its competitors. For the Education industry, the median Quick Ratio is 1.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pembury Lifestyle Group's current Quick Ratio is 0.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pembury Lifestyle Group stock overvalued right now?
Pembury Lifestyle Group (JSE:PEM) has a current Quick Ratio of 0.41. The current Quick Ratio is 0.41 and 69.9% below the Education industry median of 1.36. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Pembury Lifestyle Group (JSE:PEM), the current Quick Ratio is 0.41 as of Jun. 2019. 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.

Pembury Lifestyle Group Business Description

Address 111 9th Avenue, P.O. Box 73723, Fairlands, Randburg, Gauteng, Johannesburg, ZAF, 2030
Pembury Lifestyle Group Ltd is a South Africa based group that provides private education through its independent schools, with an intention to own the properties from which the schools operate and operating of retirement lodges. Its reportable segments are: PLG Properties - investment properties; Pembury Schools - developing and managing independent schools; and PLG Retirement Villages - developing and managing retirement villages. The main revenue is generated through the Pembury Schools segment that includes fees from the provision of accessible, affordable, private education and related services.