Salesforce.com Inc (CRM)
Quick ratio
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 8,472,000 | 6,453,000 | 6,772,000 | 9,155,000 | 7,016,000 | 6,076,000 | 6,931,000 | 6,859,000 | 5,464,000 | 4,753,000 | 6,299,000 | 8,544,000 | 6,195,000 | 3,724,000 | 4,052,000 | 5,772,000 | 4,145,000 | 3,868,000 | 3,510,000 | 4,110,000 |
| Short-term investments | US$ in thousands | 5,802,000 | 5,461,000 | 5,677,000 | 4,864,000 | 5,540,000 | 6,021,000 | 6,827,000 | 6,890,000 | 5,443,000 | 5,241,000 | 4,362,000 | 7,830,000 | 7,839,000 | 8,029,000 | 6,095,000 | 4,030,000 | 3,802,000 | 2,661,000 | 2,532,000 | 2,269,000 |
| Receivables | US$ in thousands | 11,414,000 | 4,850,000 | 5,400,000 | 4,632,000 | 10,755,000 | 4,275,000 | 4,745,000 | 3,952,000 | 9,739,000 | 4,019,000 | 4,074,000 | 3,174,000 | 7,786,000 | 3,316,000 | 3,445,000 | 3,076,000 | 6,174,000 | 2,573,000 | 2,332,000 | 2,153,000 |
| Total current liabilities | US$ in thousands | 26,631,000 | 19,394,000 | 20,805,000 | 21,626,000 | 25,891,000 | 18,227,000 | 20,080,000 | 19,899,000 | 21,788,000 | 15,035,000 | 17,393,000 | 15,323,000 | 17,728,000 | 12,234,000 | 12,963,000 | 12,843,000 | 14,845,000 | 10,474,000 | 10,195,000 | 10,488,000 |
| Quick ratio | 0.96 | 0.86 | 0.86 | 0.86 | 0.90 | 0.90 | 0.92 | 0.89 | 0.95 | 0.93 | 0.85 | 1.28 | 1.23 | 1.23 | 1.05 | 1.00 | 0.95 | 0.87 | 0.82 | 0.81 |
January 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($8,472,000K
+ $5,802,000K
+ $11,414,000K)
÷ $26,631,000K
= 0.96
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio of 1 or higher is generally considered healthy, as it indicates that the company has enough liquid assets to cover its short-term liabilities.
Looking at the data for Salesforce Inc, we can observe that the quick ratio has been fairly stable over the past eight quarters. The ratio has consistently ranged between 1.02 and 1.09, which suggests that the company has maintained a strong ability to meet its short-term obligations using its readily available assets.
The highest quick ratio of 1.09 in Q4 2024 indicates that Salesforce had $1.09 in liquid assets available to cover each dollar of its current liabilities. This may imply a comfortable liquidity position for the company during that particular quarter.
Overall, the consistent quick ratio above 1 for Salesforce Inc reflects a healthy liquidity position and indicates that the company is well-positioned to meet its short-term financial obligations.
Peer comparison
Jan 31, 2024