Vail Resorts Inc (MTN)
Current ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 911,361 | 1,208,110 | 1,791,530 | 1,745,590 | 665,088 |
| Total current liabilities | US$ in thousands | 1,113,310 | 1,130,700 | 1,110,850 | 978,401 | 603,465 |
| Current ratio | 0.82 | 1.07 | 1.61 | 1.78 | 1.10 |
July 31, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $911,361K ÷ $1,113,310K
= 0.82
The current ratio of Vail Resorts Inc has fluctuated over the past five years. In the most recent fiscal year ending on July 31, 2024, the current ratio decreased to 0.82 compared to the previous year's ratio of 1.07. This suggests that the company may be experiencing liquidity challenges as its current assets may not be sufficient to cover its current liabilities.
Comparing the current ratio to previous years, we can see a downward trend since the ratio was at its peak of 1.78 in July 31, 2021. This indicates a potential deterioration in the company's ability to meet its short-term obligations with its current assets over the years.
The current ratio falling below 1 in the latest year raises concerns about Vail Resorts Inc's short-term solvency and ability to pay off its current liabilities. Management may need to closely monitor and manage its working capital to improve liquidity and ensure the company's financial health in the future.
Peer comparison
Jul 31, 2024