GMS Inc (GMS)
Quick ratio
| 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 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 166,148 | 88,341 | 76,517 | 81,449 | 164,745 | 186,663 | 124,201 | 106,613 | 101,916 | 86,975 | 59,310 | 43,590 | 167,012 | 150,573 | 118,168 | 139,709 | 210,909 | 40,949 | 36,269 | 24,123 |
| Short-term investments | US$ in thousands | — | 2,200 | 4,000 | 4,000 | — | 810 | 3,300 | 1,803 | — | — | — | — | — | — | — | — | — | — | — | — |
| Receivables | US$ in thousands | 970,960 | 933,789 | 1,033,400 | 956,516 | 884,728 | 900,797 | 1,013,290 | 934,093 | 833,714 | 805,872 | 857,609 | 757,141 | 635,602 | 427,476 | 451,342 | 444,674 | 405,254 | 434,801 | 480,321 | 473,411 |
| Total current liabilities | US$ in thousands | 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 | 475,059 | 350,523 | 375,924 | 353,999 |
| Quick ratio | 1.50 | 1.64 | 1.67 | 1.61 | 1.49 | 1.76 | 1.68 | 1.56 | 1.36 | 1.52 | 1.44 | 1.38 | 1.43 | 1.52 | 1.51 | 1.59 | 1.30 | 1.36 | 1.37 | 1.41 |
April 30, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($166,148K
+ $—K
+ $970,960K)
÷ $757,050K
= 1.50
The quick ratio of GMS Inc has shown variations over the past few periods. The quick ratio, which measures the company's ability to cover its short-term liabilities with its most liquid assets, has generally been above 1, indicating that the company has an adequate level of liquid assets to cover its current obligations.
The quick ratio ranged from a low of 1.30 to a high of 1.76 over the periods presented. Generally, a quick ratio above 1 suggests that the company can pay off its current liabilities without having to rely heavily on selling its inventory.
The trend in the quick ratio has fluctuated, showing both increases and decreases over the periods analyzed. The highest quick ratio of 1.76 was observed in Jan 31, 2023, while the lowest was 1.30 in Jan 31, 2020. This variability indicates potential changes in the company's liquidity position and ability to meet short-term obligations without facing financial distress.
Overall, while the quick ratio has displayed some volatility, the company has maintained a relatively healthy level of liquidity throughout the periods examined, indicating a solid financial position in terms of short-term liquidity management.
Peer comparison
Apr 30, 2024