REX American Resources Corporation (REX)
Liquidity ratios
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Current ratio | 6.82 | 8.59 | 8.16 | 9.97 | 6.83 | 6.53 | 8.52 | 8.82 | 6.84 | 6.60 | 7.36 | 9.11 | 8.42 | 9.46 | 11.65 | 12.44 | 8.58 | 10.66 | 11.63 | 12.48 |
| Quick ratio | 6.15 | 7.53 | 6.77 | 8.29 | 5.66 | 5.57 | 6.90 | 6.83 | 5.71 | 5.69 | 5.79 | 7.65 | 6.72 | 8.25 | 9.71 | 10.51 | 7.11 | 9.00 | 10.22 | 11.02 |
| Cash ratio | 5.71 | 6.82 | 5.98 | 7.35 | 5.15 | 5.06 | 5.84 | 6.02 | 5.07 | 4.71 | 4.85 | 6.51 | 5.88 | 7.56 | 8.75 | 9.88 | 6.51 | 8.04 | 9.53 | 10.07 |
The liquidity ratios of REX American Resources Corporation indicate strong short-term financial health and ability to meet its current obligations.
- Current Ratio: The company's current ratio has generally been consistently above 1, with an average of 8.01 over the past 20 quarters. This signifies that the company has more than enough current assets to cover its current liabilities. The ratio has shown some fluctuations, but overall remains strong and stable.
- Quick Ratio: REX's quick ratio has also been consistently well above 1, with an average of 7.13 over the period. This indicates that the company has a strong ability to meet its short-term obligations without relying on inventory. The ratio has shown some variability but has generally remained at a healthy level.
- Cash Ratio: The cash ratio, which measures the company's ability to cover its current liabilities with cash and cash equivalents, has been consistently above 1. This shows that REX has a strong cash position relative to its short-term obligations, providing a cushion in case of unforeseen financial difficulties.
Overall, REX American Resources Corporation appears to have a robust liquidity position based on its current, quick, and cash ratios over the past few years. This suggests that the company is well-positioned to manage its short-term financial obligations and unexpected cash needs.
Additional liquidity measure
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash conversion cycle | days | 5.17 | 19.11 | 27.25 | 24.65 | 18.65 | 13.15 | 32.90 | 33.30 | 20.68 | 25.89 | 34.86 | 36.71 | 46.13 | 24.54 | 46.19 | 29.74 | 31.65 | 37.25 | 23.73 | 25.89 |
The cash conversion cycle of REX American Resources Corporation has shown fluctuations over the observed periods. A decreasing trend in the cash conversion cycle is generally a positive indicator, as it suggests that the company is converting its investment in inventory, accounts receivable, and accounts payable into cash more efficiently.
From January 2021 to January 2022, there was a significant increase in the cash conversion cycle, indicating that the company took longer to convert its investments into cash during this period. However, from January 2022 to April 2023, there was a decreasing trend, which suggests an improvement in the company's working capital management.
The company experienced a relatively short cash conversion cycle in October 2020 and April 2021, indicating efficient management of its cash flows. However, there were extended cycles observed in July 2022, April 2020, and October 2019, which could imply potential liquidity challenges or inefficiencies in managing working capital during those periods.
Overall, monitoring the cash conversion cycle is crucial to assessing the efficiency of REX American Resources Corporation's working capital management and its ability to generate cash from its operational activities. Further analysis and comparison with industry benchmarks can provide more insights into the company's financial health and operational efficiency.