GMS Inc (GMS)
Current ratio
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,520,120 | 1,491,530 | 1,670,350 | 1,633,270 | 1,639,320 | 1,500,910 | 1,547,430 | 1,535,100 | 1,549,520 | 1,567,650 | 1,596,660 | 1,530,000 | 1,423,130 | 1,391,640 | 1,365,090 | 1,192,530 | 1,102,250 | 906,107 | 874,403 | 878,863 |
| Total current liabilities | US$ in thousands | 797,558 | 648,207 | 748,697 | 708,200 | 757,050 | 624,362 | 666,312 | 648,172 | 706,281 | 619,550 | 680,767 | 666,627 | 689,198 | 587,480 | 636,575 | 578,272 | 562,501 | 380,199 | 376,936 | 367,775 |
| Current ratio | 1.91 | 2.30 | 2.23 | 2.31 | 2.17 | 2.40 | 2.32 | 2.37 | 2.19 | 2.53 | 2.35 | 2.30 | 2.06 | 2.37 | 2.14 | 2.06 | 1.96 | 2.38 | 2.32 | 2.39 |
April 30, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,520,120K ÷ $797,558K
= 1.91
The current ratio of GMS Inc exhibits a relatively stable trend over the analyzed period from July 31, 2020, to April 30, 2025. The ratio consistently remains above the value of 1.9, indicating that the company maintains sufficient short-term assets to cover its current liabilities throughout this timeframe.
Periodically, the ratio peaks at 2.53 as of January 31, 2023, signifying a strong liquidity position during that quarter, and reaches a low of 1.91 as of April 30, 2025. The fluctuations, although notable, are modest, with the ratio mostly fluctuating between approximately 2.10 and 2.53.
The initial ratio of 2.39 in July 2020 slightly decreases to 2.32 by October 2020, then remains relatively steady around the 2.3 range through 2021 and into early 2022. A temporary decline occurs to 1.96 in April 2021 but quickly recovers to over 2.3 by subsequent quarters. This indicates that while there was some variability, the company's liquidity position generally remains robust and well within a safe margin, suggesting prudent management of current assets relative to current liabilities.
Overall, GMS Inc’s current ratio demonstrates consistent liquidity levels that are comfortably above the generally accepted threshold of 1.0, reflecting a stable financial position with adequate liquidity to meet short-term obligations. The gradual fluctuations do not point to any significant liquidity concerns but highlight periodic adjustments likely driven by seasonal factors or operational changes.
Peer comparison
Apr 30, 2025