Hanesbrands Inc (HBI)
Quick ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 214,854 | 317,301 | 213,767 | 191,216 | 205,501 | 191,091 | 191,832 | 213,209 | 238,413 | 253,131 | 247,922 | 369,210 | 536,277 | 873,628 | 667,298 | 530,403 | 909,437 | 731,481 | 683,114 | 1,083,780 |
| Short-term investments | US$ in thousands | — | — | 23 | 23 | 23 | 22 | 17 | 10 | — | — | — | — | — | — | — | — | — | — | 901 | 2,873 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 1,248,540 | 1,575,460 | 1,566,480 | 1,459,440 | 1,390,570 | 1,655,280 | 1,728,090 | 1,764,470 | 1,790,630 | 2,082,040 | 2,059,960 | 2,066,030 | 2,327,050 | 2,418,050 | 2,255,960 | 2,003,740 | 2,103,370 | 2,022,750 | 2,002,250 | 1,789,070 |
| Quick ratio | 0.17 | 0.20 | 0.14 | 0.13 | 0.15 | 0.12 | 0.11 | 0.12 | 0.13 | 0.12 | 0.12 | 0.18 | 0.23 | 0.36 | 0.30 | 0.26 | 0.43 | 0.36 | 0.34 | 0.61 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($214,854K
+ $—K
+ $—K)
÷ $1,248,540K
= 0.17
The quick ratio of Hanesbrands Inc, which measures the company's ability to meet its short-term obligations with its most liquid assets, has fluctuated over the past few years. The ratio has generally been on the lower side, indicating a potential liquidity risk.
From March 31, 2020, to June 30, 2020, the quick ratio decreased significantly from 0.61 to 0.34, suggesting a potential strain on the company's ability to cover its short-term liabilities without relying on inventory. Subsequently, the ratio showed some improvement by December 31, 2020, standing at 0.43, but then declined again by March 31, 2021, to 0.26.
Throughout the following quarters, the quick ratio fluctuated within a narrow range between 0.26 and 0.36, indicating ongoing challenges in maintaining liquidity. There was a notable decrease in the ratio by March 31, 2022, where it dropped to 0.18, signaling a potential liquidity concern.
The trend continued with the quick ratio remaining relatively low through June 30, 2024, with the ratio stabilizing around 0.14 to 0.20. Overall, the quick ratio of Hanesbrands Inc reflects a pattern of fluctuation, suggesting the company may need to closely monitor its liquidity position and manage its short-term obligations effectively.