Darden Restaurants Inc (DRI)

Quick ratio

May 31, 2025 May 31, 2024 May 26, 2024 May 31, 2023 May 28, 2023
Cash US$ in thousands 254,500 194,800 194,800 367,800 367,800
Short-term investments US$ in thousands
Receivables US$ in thousands 93,800 79,100 79,100 80,200 80,200
Total current liabilities US$ in thousands 2,247,500 2,192,500 2,192,500 1,937,400 1,937,400
Quick ratio 0.15 0.12 0.12 0.23 0.23

May 31, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($254,500K + $—K + $93,800K) ÷ $2,247,500K
= 0.15

The quick ratio of Darden Restaurants Inc. demonstrates a declining trend over the reported periods. As of May 28 and May 31, 2023, the quick ratio was recorded at 0.23, indicating that the company's most liquid assets were able to cover approximately 23% of its current liabilities. By May 26 and May 31, 2024, this ratio had decreased significantly to 0.12, reflecting a reduced capacity to meet short-term obligations with ultra-liquid assets. The ratio experienced a modest increase to 0.15 by May 31, 2025, yet remained substantially below the levels observed in 2023. This downward trajectory suggests an increasingly cautious liquidity position, which may warrant further analysis regarding the company's liquid assets management and short-term financial health.