VF Corporation (VFC)

Liquidity ratios

	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
Current ratio	1.22	1.23	1.48	1.37	1.45	1.15	1.06	1.33	1.38	1.43	1.47	1.49	2.17	2.92	3.20	3.65	1.66	2.12	1.99	2.05
Quick ratio	0.56	0.58	0.67	0.53	0.68	0.47	0.45	0.51	0.83	0.88	0.93	0.98	1.23	2.11	2.06	2.20	0.89	1.11	1.02	0.96
Cash ratio	0.20	0.25	0.14	0.21	0.23	0.13	0.10	0.15	0.38	0.41	0.40	0.61	0.64	1.54	1.28	1.66	0.45	0.28	0.20	0.29

VF Corporation's liquidity ratios have fluctuated over the past few quarters. The current ratio, which measures the company's ability to cover its short-term liabilities with its current assets, has shown some volatility but generally remained above 1, indicating the company's ability to meet its short-term obligations.

The quick ratio, a more stringent measure of liquidity than the current ratio as it excludes inventory from current assets, has also shown fluctuations but generally remained below 1. This suggests that VF Corporation may have difficulty meeting its short-term obligations without relying on selling inventory.

The cash ratio, which is the most conservative liquidity ratio as it only considers cash and cash equivalents to cover its current liabilities, has shown a similar trend, with fluctuations but generally remaining below 1. This indicates that VF Corporation may not have sufficient cash reserves to cover its short-term obligations without relying on other assets.

Overall, VF Corporation's liquidity position appears to have been somewhat mixed in recent quarters, with careful monitoring needed to ensure the company can meet its short-term financial obligations effectively.

Additional liquidity measure

		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
Cash conversion cycle	days	79.44	88.81	115.61	91.08	109.19	117.60	127.86	96.16	75.96	74.13	95.28	67.01	76.76	95.34	117.82	87.94	84.59	94.98	115.38	81.30

The cash conversion cycle of VF Corporation has shown fluctuations over the past few quarters. The cash conversion cycle, which is a measure of how quickly a company can convert its resources into cash flows, was 79.44 days at the end of March 2024. This represents an improvement from the previous quarter's figure of 88.81 days.

Looking at the trend over the past few quarters, the cash conversion cycle has been somewhat volatile, with periods of both increasing and decreasing cycle times. The company was able to manage its working capital more efficiently in some quarters, resulting in a shorter cash conversion cycle, while facing challenges in others leading to longer cycle times.

Overall, a lower cash conversion cycle indicates that the company is able to efficiently manage its inventory, receivables, and payables to generate cash quickly. However, a higher cash conversion cycle may suggest delays in collecting receivables or managing inventory and payables effectively.

It is important for VF Corporation to continuously monitor and optimize its cash conversion cycle to improve operational efficiency, enhance liquidity, and ultimately maximize shareholder value.