The Clorox Company (CLX)
Quick ratio
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | 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 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 167,000 | 226,000 | 290,000 | 278,000 | 202,000 | 219,000 | 355,000 | 518,000 | 367,000 | 242,000 | 168,000 | 278,000 | 183,000 | 241,000 | 192,000 | 210,000 | 319,000 | 492,000 | 732,000 | 860,000 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | 4,000 | — | 63,000 | 24,000 | 26,000 | — | — | — | — |
| Receivables | US$ in thousands | 821,000 | 597,000 | 603,000 | 595,000 | 695,000 | 673,000 | 679,000 | 581,000 | 688,000 | 678,000 | 600,000 | 612,000 | 681,000 | 660,000 | 569,000 | 654,000 | 604,000 | 643,000 | 616,000 | 685,000 |
| Total current liabilities | US$ in thousands | 1,919,000 | 2,155,000 | 1,730,000 | 1,579,000 | 1,574,000 | 1,846,000 | 2,022,000 | 2,228,000 | 1,917,000 | 1,996,000 | 1,878,000 | 2,010,000 | 1,784,000 | 2,643,000 | 2,596,000 | 2,639,000 | 2,056,000 | 1,819,000 | 1,738,000 | 1,516,000 |
| Quick ratio | 0.51 | 0.38 | 0.52 | 0.55 | 0.57 | 0.48 | 0.51 | 0.49 | 0.55 | 0.46 | 0.41 | 0.44 | 0.48 | 0.36 | 0.30 | 0.34 | 0.45 | 0.62 | 0.78 | 1.02 |
June 30, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($167,000K
+ $—K
+ $821,000K)
÷ $1,919,000K
= 0.51
The Clorox Company’s quick ratio has experienced notable fluctuations over the analyzed period from September 30, 2020, to June 30, 2025. Starting at a high point of 1.02 in September 2020, the ratio declined sharply through the subsequent quarters, reaching a low of 0.30 in December 2021. This downward trend indicates a diminishing liquidity cushion in terms of the company’s most liquid assets relative to its current liabilities during this interval.
After hitting this trough, the quick ratio demonstrated some recovery, ascending back to approximately 0.55 as of June 30, 2022. The ratio then remained relatively stable within the range of approximately 0.44 to 0.55 through September 2023, suggesting a period of stabilization in short-term liquidity measures. Toward the end of the observed period, into 2024 and the first half of 2025, the ratio continued to hover around the mid-0.50s, with slight fluctuations.
Throughout the entire timeframe, the quick ratio consistently remained below 1.0, implying that at no point did the most liquid assets sufficiently cover all current liabilities. This persistent level below 1.0 reflects a reliance on less liquid current assets, such as inventory or other receivables, to meet short-term obligations, signaling potential liquidity concerns especially during the decline phase.
In summary, while The Clorox Company experienced a significant decline in quick liquidity from September 2020 through December 2021, subsequent periods indicated modest recovery and stabilization. Nonetheless, the quick ratio’s perpetual positioning below 1.0 warrants ongoing attention, as it suggests that the company's immediate liquidity position may be stretched, emphasizing the importance of effective working capital management to ensure short-term financial stability.