Oxford Industries Inc (OXM)
Liquidity ratios
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 1.22 | 1.37 | 1.21 | 1.35 | 1.23 | 1.30 | 1.89 | 1.80 | 1.77 | 1.77 | 1.59 | 1.37 | 1.32 | 1.49 | 1.72 | 2.77 | 1.62 | 1.64 | 1.61 | 1.64 |
| Quick ratio | 0.38 | 0.41 | 0.36 | 0.46 | 0.27 | 0.43 | 1.15 | 1.15 | 1.17 | 1.22 | 1.12 | 0.79 | 0.58 | 0.52 | 0.73 | 1.52 | 0.63 | 0.52 | 0.55 | 0.55 |
| Cash ratio | 0.03 | 0.04 | 0.03 | 0.04 | 0.03 | 0.07 | 0.84 | 0.73 | 0.93 | 0.91 | 0.82 | 0.41 | 0.34 | 0.30 | 0.56 | 1.19 | 0.30 | 0.13 | 0.19 | 0.03 |
Oxford Industries Inc's liquidity ratios show fluctuations over the past few quarters. The current ratio, which measures the company's ability to cover its short-term obligations with its current assets, has generally been above 1, indicating a healthy liquidity position. However, there are some variations, with the ratio ranging from 1.21 to 1.89.
The quick ratio, a more stringent measure of liquidity that excludes inventory from current assets, has displayed more variability. While the company's quick ratio has mostly been below 1, indicating potential difficulty in meeting short-term obligations without relying on inventory, it has fluctuated between 0.27 and 1.52 over the periods analyzed.
The cash ratio, the most conservative liquidity measure, which considers only cash and cash equivalents relative to current liabilities, has shown significant variability as well. Oxford Industries Inc's cash ratio has generally been low, fluctuating between 0.03 and 1.19. This suggests the company may have limited cash on hand to cover its current liabilities in certain periods.
Overall, while Oxford Industries Inc generally maintains a current ratio above 1 to meet its short-term obligations, the fluctuating quick and cash ratios signal potential challenges in immediate liquidity management. It is essential for the company to closely monitor its liquidity position and potentially seek strategies to improve its ability to meet short-term obligations promptly.
Additional liquidity measure
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 36.99 | 42.21 | 40.85 | 55.91 | 53.80 | 54.22 | 39.74 | 46.33 | 30.48 | 31.78 | 30.37 | 55.84 | 60.85 | 82.77 | 74.46 | 74.06 | 49.35 | 53.65 | 55.90 | 64.96 |
The cash conversion cycle of Oxford Industries Inc has fluctuated over the past years, indicating variations in the efficiency of its cash management. The cycle experienced a significant increase in April 2023, reaching 55.91 days, which suggests a longer time taken to convert its investments in raw materials into cash from sales. Subsequently, the cycle gradually decreased to 30.48 days in January 2022, reflecting improved cash management efficiency and possibly tighter control on inventory and accounts receivable.
However, there was a slight increase in the cycle in May 2021 followed by fluctuations in subsequent periods. The company faced a more extended cash conversion cycle in early 2021 and early 2022, which may have been due to various factors affecting the timing of cash inflows and outflows in the business operations.
Overall, Oxford Industries Inc should continue monitoring its cash conversion cycle closely and implement strategies to maintain a shorter cycle, as this would indicate better liquidity management, reduced working capital requirements, and potentially improved financial performance.