VF Corporation (VFC)

Quick ratio

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Cash	US$ in thousands	674,605	814,887	1,275,940	815,750	1,369,030
Short-term investments	US$ in thousands	—	—	0	598,806	0
Receivables	US$ in thousands	1,273,960	1,610,300	1,467,840	1,298,020	1,308,050
Total current liabilities	US$ in thousands	3,456,980	3,545,770	3,315,400	2,210,480	3,023,880
Quick ratio		0.56	0.68	0.83	1.23	0.89

March 31, 2024 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($674,605K + $—K + $1,273,960K) ÷ $3,456,980K
= 0.56

The quick ratio of VF Corporation has shown a declining trend over the past five years. The ratio decreased from 0.89 in 2020 to 0.56 in 2024. This indicates a decreasing ability of the company to meet its short-term obligations with its most liquid assets. A quick ratio below 1 suggests that VF Corporation may have difficulty in paying off its current liabilities using its quick assets alone. It would be advisable for VF Corporation to closely monitor this ratio and take actions to improve its liquidity position.