Urban Outfitters Inc (URBN)

Cash ratio

Jan 31, 2025 Oct 31, 2024 Jul 31, 2024 Apr 30, 2024 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
Cash and cash equivalents US$ in thousands 290,481 182,516 209,129 173,995 178,321 206,237 224,744 171,655 201,260 147,431 91,665 71,640 206,575 236,354 464,811 364,247 395,635 624,945 662,860 588,740
Short-term investments US$ in thousands 319,949 340,445 352,360 312,558 286,744 249,176 250,832 209,777 181,378 146,364 160,020 187,563 239,420 188,375 156,982 164,430 174,695 2 501 65,121
Total current liabilities US$ in thousands 1,075,680 1,125,540 1,010,420 1,034,220 994,205 1,048,920 957,476 927,676 890,374 1,008,440 966,885 920,155 981,473 1,049,000 946,365 891,600 906,132 946,898 771,216 663,577
Cash ratio 0.57 0.46 0.56 0.47 0.47 0.43 0.50 0.41 0.43 0.29 0.26 0.28 0.45 0.40 0.66 0.59 0.63 0.66 0.86 0.99

January 31, 2025 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($290,481K + $319,949K) ÷ $1,075,680K
= 0.57

The cash ratio of Urban Outfitters Inc has shown some fluctuation over the past few years, but overall it indicates the company's ability to cover its short-term obligations with its cash and cash equivalents.

From April 2020 to January 2022, the cash ratio decreased steadily from 0.99 to 0.28, which may suggest a potential risk in meeting immediate financial obligations. However, there was a slight increase in the ratio in the following periods, reaching 0.47 by April 2024.

Notably, the cash ratio dipped in October 2022 to 0.29, signaling a possible liquidity challenge. Nevertheless, the company managed to improve its cash position by January 2025, with a cash ratio of 0.57.

It is important to continue monitoring the cash ratio to ensure Urban Outfitters Inc maintains a healthy level of liquidity to meet its short-term financial commitments effectively.