Ralph Lauren Corp Class A (RL)

Current ratio

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Total current assets	US$ in thousands	3,359,800	3,639,400	3,394,500	3,473,100	3,324,100	3,631,300	3,440,600	3,577,500	4,217,300	4,567,300	4,632,700	4,378,200	4,208,000	4,276,400	3,907,100	3,857,000	3,375,200	3,448,900	3,386,700	3,654,100
Total current liabilities	US$ in thousands	1,467,200	1,678,200	1,610,400	1,593,700	1,493,500	1,749,600	1,709,600	1,745,400	2,255,700	2,429,600	2,260,600	2,113,300	1,584,800	1,676,800	1,553,700	1,486,900	2,092,000	1,775,400	1,736,000	1,591,000
Current ratio		2.29	2.17	2.11	2.18	2.23	2.08	2.01	2.05	1.87	1.88	2.05	2.07	2.66	2.55	2.51	2.59	1.61	1.94	1.95	2.30

March 31, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $3,359,800K ÷ $1,467,200K
= 2.29

The current ratio of Ralph Lauren Corp Class A has shown fluctuation over the past few quarters. The current ratio measures the company's ability to meet its short-term obligations with its current assets. A higher current ratio indicates a better ability to cover short-term liabilities.

The current ratio has generally been above 2, indicating that Ralph Lauren Corp Class A has had sufficient current assets to cover its current liabilities. However, there have been some fluctuations in the current ratio, with values ranging from 1.61 to 2.66 over the last few quarters.

The current ratio peaked at 2.66 in the first quarter of 2021 but has since declined and fluctuated within the range of 1.87 to 2.29 in more recent quarters. The current ratio of 2.29 as of March 31, 2024, suggests that the company had $2.29 in current assets for every $1 in current liabilities.

While the current ratio has shown some variability, it is important for stakeholders to monitor this ratio closely to ensure the company's short-term liquidity position remains strong and that it can meet its obligations as they come due.