Guidewire Software Inc (GWRE)
Current ratio
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 1,507,420 | 1,295,530 | 1,099,600 | 1,252,700 | 1,355,280 |
| Total current liabilities | US$ in thousands | 544,802 | 837,635 | 373,261 | 337,518 | 300,314 |
| Current ratio | 2.77 | 1.55 | 2.95 | 3.71 | 4.51 |
July 31, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,507,420K ÷ $544,802K
= 2.77
The current ratio of Guidewire Software Inc. has demonstrated a declining trend over the observed period from July 31, 2021, to July 31, 2024, with a subsequent increase projected in 2025. Specifically, the ratio was 4.51 in July 2021, indicating a strong liquidity position with current assets significantly exceeding current liabilities at that time. This ratio decreased to 3.71 by July 31, 2022, and further declined to 2.95 by July 31, 2023, reflecting a gradual reduction in the company's short-term liquidity cushion. The ratio continued its downward trend to a low of 1.55 as of July 31, 2024, approaching a more moderate level but still maintaining overall adequacy in covering short-term obligations. Projections for July 31, 2025, suggest an improvement in the current ratio to 2.77, which indicates a return to better liquidity levels, surpassing the 2024 figure. The overall pattern reveals a notable decrease over the three-year span, with an anticipated partial recovery, highlighting changes in liquidity management or shifts in current asset and liability balances during this period.