Kroger Company (KR)

Quick ratio

Feb 3, 2024 Nov 4, 2023 Aug 12, 2023 May 20, 2023 Jan 28, 2023 Nov 5, 2022 Aug 13, 2022 May 21, 2022 Jan 29, 2022 Nov 6, 2021 Aug 14, 2021 May 22, 2021 Jan 30, 2021 Nov 7, 2020 May 23, 2020 Feb 1, 2020 Nov 9, 2019 Aug 17, 2019 May 25, 2019 Feb 2, 2019
Cash US$ in thousands 1,883,000 1,725,000 2,420,000 2,632,000 1,015,000 916,000 1,102,000 1,382,000 1,821,000 2,288,000 2,225,000 2,309,000 1,687,000 2,180,000 2,726,000 399,000 545,000 629,000 409,000 429,000
Short-term investments US$ in thousands 1,110,000 1,011,000 1,142,000 1,066,000
Receivables US$ in thousands 2,136,000 1,938,000 1,820,000 1,766,000 2,234,000 2,019,000 1,869,000 1,887,000 1,828,000 1,914,000 1,961,000 1,936,000 1,781,000 1,610,000 1,552,000 1,706,000 1,600,000 1,567,000 1,560,000 1,589,000
Total current liabilities US$ in thousands 16,058,000 16,785,000 16,537,000 17,130,000 17,238,000 17,738,000 16,566,000 16,238,000 16,323,000 16,798,000 15,603,000 15,210,000 15,366,000 15,517,000 14,671,000 14,243,000 14,118,000 13,350,000 13,575,000 14,274,000
Quick ratio 0.25 0.22 0.26 0.26 0.19 0.17 0.18 0.27 0.22 0.25 0.27 0.35 0.23 0.24 0.37 0.15 0.15 0.16 0.22 0.14

February 3, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,883,000K + $—K + $2,136,000K) ÷ $16,058,000K
= 0.25

The quick ratio of Kroger Company has fluctuated over the past few years, ranging from a low of 0.14 to a high of 0.37. The quick ratio measures a company's ability to meet its short-term obligations using its most liquid assets. A quick ratio below 1 indicates that a company may have difficulty covering its short-term liabilities with its current assets.

Based on the data provided, the quick ratio shows volatility and inconsistency in Kroger Company's ability to meet its short-term obligations. The ratios range from 0.14 to 0.37, indicating varying levels of liquidity over time. The company's quick ratio has generally been below 1, suggesting potential challenges in promptly addressing its short-term commitments with its existing liquid assets.

It is important for Kroger Company to closely monitor and manage its liquidity position to ensure it can meet its short-term obligations. The fluctuating quick ratio may reflect changes in the company's cash flow, inventory management, or accounts receivable collection efficiency. Analyzing trends in the quick ratio can provide insights into Kroger's financial health and operational efficiency.


Peer comparison

Feb 3, 2024

Company name
Symbol
Quick ratio
Kroger Company
KR
0.25
Grocery Outlet Holding Corp
GO
0.35
Sprouts Farmers Market LLC
SFM
0.42