PVH Corp (PVH)

Cash ratio

Feb 28, 2025 Feb 29, 2024 Feb 4, 2024 Feb 28, 2023 Jan 29, 2023
Cash and cash equivalents US$ in thousands 748,000 707,600 707,600 550,700 550,700
Short-term investments US$ in thousands — -135,000 — 700 —
Total current liabilities US$ in thousands 2,741,800 2,771,500 2,771,500 2,767,500 2,767,500
Cash ratio 0.27 0.21 0.26 0.20 0.20

February 28, 2025 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($748,000K + $—K) ÷ $2,741,800K
= 0.27

The cash ratio of PVH Corp has shown consistency over the years, ranging between 0.20 and 0.27. This ratio indicates that for every dollar of current liabilities, the company has 20% to 27% available in cash or cash equivalents to meet its short-term obligations. The slight variations in the cash ratio demonstrate some fluctuations in the company's ability to cover its immediate liabilities with its cash reserves. Overall, maintaining a cash ratio above 0.20 indicates that PVH Corp has a prudent level of liquidity to manage its current liabilities effectively.