Lululemon Athletica Inc. (LULU)

Quick ratio

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Jan 28, 2024	Oct 31, 2023	Oct 29, 2023	Jul 31, 2023	Jul 30, 2023	Apr 30, 2023	Jan 31, 2023	Jan 29, 2023	Oct 31, 2022	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Apr 30, 2022	Jan 31, 2022	Jan 30, 2022
Cash	US$ in thousands	1,984,340	1,188,420	1,610,110	1,900,660	2,243,960	2,243,970	1,091,140	1,091,140	1,107,530	1,107,530	950,607	1,154,870	1,154,870	352,624	352,624	498,831	649,016	649,016	1,259,870	1,259,870
Short-term investments	US$ in thousands	—	—	31	8	8	8	47	47	8	8	8	8	8	8	8	34,894	136,127	136,127	318,698	—
Receivables	US$ in thousands	—	—	—	—	—	124,769	—	107,004	—	106,221	—	—	132,906	—	96,179	—	78,391	—	—	77,001
Total current liabilities	US$ in thousands	1,839,630	1,996,870	1,468,650	1,383,570	1,631,260	1,631,260	1,448,110	1,448,110	1,386,370	1,386,370	1,256,770	1,492,200	1,492,200	1,322,840	1,322,840	1,207,210	1,206,890	1,206,890	1,405,330	1,405,330
Quick ratio		1.08	0.60	1.10	1.37	1.38	1.45	0.75	0.83	0.80	0.88	0.76	0.77	0.86	0.27	0.34	0.44	0.72	0.65	1.12	0.95

January 31, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($1,984,340K + $—K + $—K) ÷ $1,839,630K
= 1.08

The quick ratio of Lululemon Athletica Inc. has shown varying levels over the provided time period. It measures the company's ability to meet its short-term obligations with its most liquid assets.

The quick ratio ranged from a low of 0.27 on October 31, 2022, indicating a potential liquidity concern, to a high of 1.45 on January 28, 2024, reflecting a strong ability to cover short-term liabilities.

Overall, the quick ratio fluctuated between 0.27 and 1.45 during the period, suggesting periodic challenges in meeting short-term obligations with liquid assets but also periods of robust liquidity positions. Investors and creditors should consider the trend and absolute levels of the quick ratio when assessing Lululemon Athletica's short-term liquidity position.