Guess? Inc. (GES)
Cash ratio
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 187,696 | 140,911 | 218,856 | 241,654 | 360,285 | 360,285 | 244,103 | 244,103 | 302,626 | 302,626 | 298,642 | 298,642 | 275,765 | 275,765 | 174,065 | 174,065 | 174,372 | 174,372 | 147,897 | 415,565 |
| Short-term investments | US$ in thousands | — | — | -139,946 | — | — | — | — | — | — | — | — | — | — | — | — | — | 194,256 | — | — | — |
| Total current liabilities | US$ in thousands | 866,423 | 848,783 | 855,514 | 768,118 | 791,557 | 791,557 | 836,394 | 836,394 | 857,305 | 857,305 | 829,033 | 829,033 | 763,052 | 763,052 | 732,727 | 732,727 | 760,319 | 760,319 | 758,491 | 817,874 |
| Cash ratio | 0.22 | 0.17 | 0.09 | 0.31 | 0.46 | 0.46 | 0.29 | 0.29 | 0.35 | 0.35 | 0.36 | 0.36 | 0.36 | 0.36 | 0.24 | 0.24 | 0.48 | 0.23 | 0.19 | 0.51 |
January 31, 2025 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($187,696K
+ $—K)
÷ $866,423K
= 0.22
The cash ratio of Guess? Inc. has fluctuated over the periods indicated in the data provided. The cash ratio measures the company's ability to cover its short-term liabilities with its available cash and cash equivalents. A higher cash ratio indicates a stronger ability to meet short-term obligations without relying on external sources.
In the data, we observe that the cash ratio ranged from 0.09 to 0.51. In general, a cash ratio below 1 implies that the company may have difficulty meeting its short-term obligations solely with its cash on hand. Guess? Inc. experienced a significant drop in the cash ratio from 0.51 in January 2022 to 0.09 in July 2024, which could suggest a potential liquidity challenge during that period.
While the cash ratio improved from the low of 0.09 in July 2024 to 0.22 in January 2025, it is important to monitor this metric closely to ensure the company maintains adequate liquidity to fulfill its short-term financial obligations. It would be advisable for Guess? Inc. to continue assessing its cash management strategies to mitigate liquidity risks and maintain a healthy level of cash reserves.