General Mills Inc (GIS)

Quick ratio

		May 31, 2024	May 26, 2024	May 31, 2023	May 28, 2023	May 31, 2022
Cash	US$ in thousands	418,000	418,000	585,500	585,500	569,400
Short-term investments	US$ in thousands	0	4,600	117,200	122,700	249,800
Receivables	US$ in thousands	—	1,696,200	—	1,683,200	—
Total current liabilities	US$ in thousands	7,033,100	7,033,100	7,535,700	7,535,700	8,019,900
Quick ratio		0.06	0.30	0.09	0.32	0.10

May 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($418,000K + $0K + $—K) ÷ $7,033,100K
= 0.06

The quick ratio of General Mills Inc shows a fluctuating trend over the period from May 31, 2022, to May 31, 2024. The quick ratio, which indicates the company's ability to meet its short-term obligations with its most liquid assets, was relatively low at 0.10 on May 31, 2022. It then improved to 0.32 on May 28, 2023, reflecting a stronger liquidity position. However, there was a decline in the quick ratio to 0.09 on May 31, 2023, indicating potential challenges in meeting short-term obligations.

The ratio improved again to 0.30 on May 26, 2024, suggesting a better ability to cover immediate liabilities with liquid assets. However, there was a significant drop in the quick ratio to 0.06 on May 31, 2024, raising concerns about the company's liquidity position in the short term. Overall, the fluctuating trend in the quick ratio of General Mills Inc indicates varying levels of liquidity and highlights the importance of closely monitoring the company's ability to meet its short-term financial obligations.