Analysis of Liquidity Ratios
Liquidity ratios measure the company ability to meet its short-term obligations.
Liquidity Ratios (Summary)
General Mills Inc., liquidity ratios
Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | General Mills Inc. current ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | General Mills Inc. quick ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | General Mills Inc. cash ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |
Current Ratio
General Mills Inc., current ratio calculation, comparison to benchmarks
| May 26, 2019 | May 27, 2018 | May 28, 2017 | May 29, 2016 | May 31, 2015 | May 25, 2014 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current assets | 4,186,500) | 4,123,700) | 4,061,400) | 3,937,200) | 3,785,700) | 4,393,500) | |
| Current liabilities | 7,087,100) | 7,341,900) | 5,330,800) | 5,014,700) | 4,890,100) | 5,423,500) | |
| Liquidity Ratio | |||||||
| Current ratio1 | 0.59 | 0.56 | 0.76 | 0.79 | 0.77 | 0.81 | |
| Benchmarks | |||||||
| Current Ratio, Competitors2 | |||||||
| Altria Group Inc. | 0.59 | — | — | — | — | — | |
| Coca-Cola Co. | 0.76 | — | — | — | — | — | |
| Mondelēz International Inc. | 0.50 | — | — | — | — | — | |
| PepsiCo Inc. | 0.86 | — | — | — | — | — | |
| Current Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.71 | — | — | — | — | — | |
| Current Ratio, Industry | |||||||
| Consumer Staples | 0.79 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).
1 2019 Calculation
Current ratio = Current assets ÷ Current liabilities
= 4,186,500 ÷ 7,087,100 = 0.59
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Current ratio | A liquidity ratio calculated as current assets divided by current liabilities. | General Mills Inc. current ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |
Quick Ratio
General Mills Inc., quick ratio calculation, comparison to benchmarks
| May 26, 2019 | May 27, 2018 | May 28, 2017 | May 29, 2016 | May 31, 2015 | May 25, 2014 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash equivalents | 450,000) | 399,000) | 766,100) | 763,700) | 334,200) | 867,300) | |
| Receivables | 1,679,700) | 1,684,200) | 1,430,100) | 1,360,800) | 1,386,700) | 1,483,600) | |
| Total quick assets | 2,129,700) | 2,083,200) | 2,196,200) | 2,124,500) | 1,720,900) | 2,350,900) | |
| Current liabilities | 7,087,100) | 7,341,900) | 5,330,800) | 5,014,700) | 4,890,100) | 5,423,500) | |
| Liquidity Ratio | |||||||
| Quick ratio1 | 0.30 | 0.28 | 0.41 | 0.42 | 0.35 | 0.43 | |
| Benchmarks | |||||||
| Quick Ratio, Competitors2 | |||||||
| Altria Group Inc. | 0.28 | — | — | — | — | — | |
| Coca-Cola Co. | 0.56 | — | — | — | — | — | |
| Mondelēz International Inc. | 0.28 | — | — | — | — | — | |
| PepsiCo Inc. | 0.66 | — | — | — | — | — | |
| Quick Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.50 | — | — | — | — | — | |
| Quick Ratio, Industry | |||||||
| Consumer Staples | 0.36 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).
1 2019 Calculation
Quick ratio = Total quick assets ÷ Current liabilities
= 2,129,700 ÷ 7,087,100 = 0.30
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Quick ratio | A liquidity ratio calculated as (cash plus short-term marketable investments plus receivables) divided by current liabilities. | General Mills Inc. quick ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |
Cash Ratio
General Mills Inc., cash ratio calculation, comparison to benchmarks
| May 26, 2019 | May 27, 2018 | May 28, 2017 | May 29, 2016 | May 31, 2015 | May 25, 2014 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cash and cash equivalents | 450,000) | 399,000) | 766,100) | 763,700) | 334,200) | 867,300) | |
| Total cash assets | 450,000) | 399,000) | 766,100) | 763,700) | 334,200) | 867,300) | |
| Current liabilities | 7,087,100) | 7,341,900) | 5,330,800) | 5,014,700) | 4,890,100) | 5,423,500) | |
| Liquidity Ratio | |||||||
| Cash ratio1 | 0.06 | 0.05 | 0.14 | 0.15 | 0.07 | 0.16 | |
| Benchmarks | |||||||
| Cash Ratio, Competitors2 | |||||||
| Altria Group Inc. | 0.26 | — | — | — | — | — | |
| Coca-Cola Co. | 0.41 | — | — | — | — | — | |
| Mondelēz International Inc. | 0.08 | — | — | — | — | — | |
| PepsiCo Inc. | 0.28 | — | — | — | — | — | |
| Cash Ratio, Sector | |||||||
| Food, Beverage & Tobacco | 0.29 | — | — | — | — | — | |
| Cash Ratio, Industry | |||||||
| Consumer Staples | 0.23 | — | — | — | — | — | |
Based on: 10-K (reporting date: 2019-05-26), 10-K (reporting date: 2018-05-27), 10-K (reporting date: 2017-05-28), 10-K (reporting date: 2016-05-29), 10-K (reporting date: 2015-05-31), 10-K (reporting date: 2014-05-25).
1 2019 Calculation
Cash ratio = Total cash assets ÷ Current liabilities
= 450,000 ÷ 7,087,100 = 0.06
2 Click competitor name to see calculations.
| Liquidity ratio | Description | The company |
|---|---|---|
| Cash ratio | A liquidity ratio calculated as (cash plus short-term marketable investments) divided by current liabilities. | General Mills Inc. cash ratio deteriorated from 2017 to 2018 but then slightly improved from 2018 to 2019. |