General Mills Inc (GIS)
Liquidity ratios
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 |
| Quick ratio | 0.07 | 0.29 | 0.06 | 0.06 | 0.30 | 0.08 | 0.33 | 0.08 | 0.30 | 0.07 | 0.32 | 0.09 | 0.32 | 0.07 | 0.25 | 0.07 | 0.27 | 0.07 | 0.27 | 0.11 |
| Cash ratio | 0.07 | 0.29 | 0.06 | 0.06 | 0.06 | 0.08 | 0.08 | 0.08 | 0.08 | 0.07 | 0.07 | 0.09 | 0.09 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.07 | 0.11 |
General Mills Inc's liquidity ratios reflect the company's ability to meet its short-term obligations. The current ratio, which measures the company's ability to cover its current liabilities with its current assets, has been fluctuating over the periods analyzed, ranging from a low of 0.54 to a high of 0.72. The current ratio improved towards the end of the period, reaching 0.67 as of February 2025.
The quick ratio, which provides a more stringent measure of liquidity by excluding inventories from current assets, also shows variability over time, with values ranging from 0.06 to 0.33. Despite fluctuations, the quick ratio generally improved in later periods, reaching 0.07 as of February 2025.
The cash ratio, which focuses solely on the most liquid assets to cover current liabilities, shows a similar trend of fluctuation, with values ranging from 0.06 to 0.29. The cash ratio improved significantly from 0.06 to 0.29 as of November 30, 2024.
Overall, the liquidity ratios of General Mills Inc indicate some variability in the company's ability to meet its short-term obligations, with a general improvement in liquidity towards the end of the period. However, it is essential to monitor these ratios regularly to ensure the company maintains adequate liquidity levels.
See also:
Additional liquidity measure
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 52.08 | 56.82 | 57.15 | 50.35 | -23.18 | 43.70 | -11.24 | 53.52 | -8.66 | 58.95 | -5.60 | 54.46 | -20.03 | 48.24 | -9.70 | 50.85 | -12.62 | 55.38 | -12.99 | 50.63 |
The cash conversion cycle of General Mills Inc has shown fluctuations over the periods presented. The cash conversion cycle represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.
From May 31, 2022, to February 28, 2025, the cash conversion cycle varied, swinging between positive and negative values. A positive cash conversion cycle indicates that the company takes longer to convert its investments into cash, possibly due to slower inventory turnover or collection of receivables. On the other hand, a negative cash conversion cycle suggests that the company is able to quickly convert its investments into cash, which may indicate efficient operations.
Overall, the trend in the cash conversion cycle of General Mills Inc shows periodic improvements and setbacks. It is essential for the company to monitor and manage its working capital effectively to optimize cash flow operations and enhance its overall financial performance.