Guess? Inc. (GES)
Quick 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 | 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 | — | — | — |
| Receivables | US$ in thousands | — | — | — | — | 314,769 | — | — | 340,784 | — | 318,364 | — | 286,314 | — | 341,939 | — | 319,342 | — | 301,659 | — | — |
| 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 |
| Quick ratio | 0.22 | 0.17 | 0.09 | 0.31 | 0.85 | 0.46 | 0.29 | 0.70 | 0.35 | 0.72 | 0.36 | 0.71 | 0.36 | 0.81 | 0.24 | 0.67 | 0.48 | 0.63 | 0.19 | 0.51 |
January 31, 2025 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($187,696K
+ $—K
+ $—K)
÷ $866,423K
= 0.22
The quick ratio of Guess? Inc. has fluctuated over the reported period, indicating variable short-term liquidity levels. The quick ratio, which measures the company's ability to cover its current liabilities with its most liquid assets, has shown inconsistent performance.
In January 2022, the quick ratio was 0.51, which suggests that Guess? Inc. had $0.51 in liquid assets available to cover each dollar of current liabilities. By April 2022, the ratio dropped significantly to 0.19, indicating a potential liquidity strain. However, there was an improvement in liquidity by July 2022, with the quick ratio increasing to 0.63.
The quick ratio fluctuated further in the subsequent periods, reaching as low as 0.09 in July 2024, indicating a potential liquidity risk as the company may struggle to meet its short-term obligations with its liquid assets. However, by January 2025, the quick ratio improved slightly to 0.22, though it still remains relatively low compared to earlier periods.
Overall, the erratic nature of Guess? Inc.'s quick ratio indicates varying levels of liquidity and highlights the importance of closely monitoring the company's ability to meet its short-term obligations with its readily available assets.