General Mills Inc (GIS)

Current ratio

		Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	May 26, 2024	Feb 29, 2024	Feb 25, 2024	Nov 30, 2023	Nov 26, 2023	Aug 31, 2023	Aug 27, 2023	May 31, 2023	May 28, 2023	Feb 28, 2023	Feb 26, 2023	Nov 30, 2022	Nov 27, 2022	Aug 31, 2022	Aug 28, 2022	May 31, 2022
Total current assets	US$ in thousands	5,256,000	7,381,400	4,813,600	4,580,900	4,580,900	4,654,500	4,654,500	5,045,600	5,045,600	5,107,000	5,107,000	5,176,400	5,176,400	5,116,000	5,116,000	5,330,600	5,330,600	5,134,000	5,134,000	5,089,800
Total current liabilities	US$ in thousands	7,876,200	8,024,300	7,289,400	7,033,100	7,033,100	7,061,900	7,061,900	7,902,200	7,902,200	7,067,800	7,067,800	7,535,700	7,535,700	9,418,300	9,418,300	9,208,200	9,208,200	8,595,500	8,595,500	8,019,900
Current ratio		0.67	0.92	0.66	0.65	0.65	0.66	0.66	0.64	0.64	0.72	0.72	0.69	0.69	0.54	0.54	0.58	0.58	0.60	0.60	0.63

February 28, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $5,256,000K ÷ $7,876,200K
= 0.67

General Mills Inc's current ratio has fluctuated over the past few years, ranging from a low of 0.54 to a high of 0.92. The current ratio measures the company's ability to cover its short-term liabilities with its current assets. A current ratio below 1 indicates that the company may have difficulty meeting its short-term obligations.

In this case, General Mills Inc's current ratio has generally been below 1, indicating potential liquidity challenges. However, it is important to consider industry norms and historical trends to fully assess the significance of these ratios. The company may need to closely monitor its liquidity position and take steps to improve its current ratio to ensure it can meet its short-term obligations effectively.