Campbell’s Co (CPB)
Current ratio
| Jul 31, 2025 | Jul 31, 2024 | Jul 28, 2024 | Jul 31, 2023 | Jul 30, 2023 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 2,232,000 | 2,190,000 | 2,190,000 | 2,061,000 | 2,061,000 |
| Total current liabilities | US$ in thousands | 2,906,000 | 3,576,000 | 3,576,000 | 2,222,000 | 2,222,000 |
| Current ratio | 0.77 | 0.61 | 0.61 | 0.93 | 0.93 |
July 31, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $2,232,000K ÷ $2,906,000K
= 0.77
The current ratio for Campbell’s Co has exhibited notable fluctuations over the specified period. As of July 30, 2023, and July 31, 2023, the current ratio stood at 0.93, indicating that the company's current assets slightly exceeded its current liabilities, but the margin was relatively narrow. This suggests a marginal liquidity position but may also imply potential difficulties in meeting short-term obligations without utilizing liquid assets or restructuring liabilities.
By July 28, 2024, the current ratio declined significantly to 0.61, indicating a deterioration in liquidity position. The ratio below 1 suggests that the company's current liabilities exceeded its current assets, raising concerns regarding its ability to fulfill short-term commitments solely from existing assets. This decline may represent a period of increased liabilities, decreased current assets, or both, reflecting potential financial stress.
The same ratio persisted on July 31, 2024, maintaining the level of 0.61, indicating stability in the reduced liquidity position during this period. However, by July 31, 2025, the current ratio improved to 0.77, showing a partial recovery in liquidity. Although this figure remains below 1, it signifies an improvement in the company's short-term financial health, possibly due to increased current assets, reduced current liabilities, or a combination of both.
Overall, the trend illustrates a decline in Campbell’s Co’s liquidity position from late 2023 to mid-2024, followed by a moderate improvement by mid-2025. The ratios suggest that while there has been some recovery, the company's ability to meet short-term obligations solely with current assets remains somewhat constrained, warranting ongoing monitoring of its working capital management and short-term financial stability.