Current Ratio
since 2005
Calculation
Williams-Sonoma Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Jan 28, 2024 | 1.45 | = | 2,719,797) | ÷ | 1,880,315) |
| Jan 29, 2023 | 1.24 | = | 2,036,080) | ÷ | 1,636,451) |
| Jan 30, 2022 | 1.31 | = | 2,323,894) | ÷ | 1,771,686) |
| Jan 31, 2021 | 1.34 | = | 2,467,080) | ÷ | 1,848,000) |
| Feb 2, 2020 | 1.09 | = | 1,755,635) | ÷ | 1,609,555) |
| Feb 3, 2019 | 1.58 | = | 1,694,343) | ÷ | 1,074,812) |
| Jan 28, 2018 | 1.62 | = | 1,636,445) | ÷ | 1,007,823) |
| Jan 29, 2017 | 1.42 | = | 1,367,180) | ÷ | 961,256) |
| Jan 31, 2016 | 1.34 | = | 1,336,100) | ÷ | 996,427) |
| Feb 1, 2015 | 1.59 | = | 1,391,923) | ÷ | 875,948) |
| Feb 2, 2014 | 1.65 | = | 1,419,103) | ÷ | 861,096) |
| Feb 3, 2013 | 2.00 | = | 1,316,772) | ÷ | 657,127) |
| Jan 29, 2012 | 2.23 | = | 1,276,366) | ÷ | 571,799) |
| Jan 30, 2011 | 2.20 | = | 1,347,594) | ÷ | 611,716) |
| Jan 31, 2010 | 2.09 | = | 1,180,193) | ÷ | 563,482) |
| Feb 1, 2009 | 2.04 | = | 940,673) | ÷ | 460,737) |
| Feb 3, 2008 | 1.72 | = | 1,049,775) | ÷ | 611,534) |
| Jan 28, 2007 | 1.75 | = | 1,100,963) | ÷ | 627,734) |
| Jan 29, 2006 | 1.83 | = | 1,083,164) | ÷ | 590,392) |
| Jan 30, 2005 | 1.67 | = | 873,765) | ÷ | 522,157) |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).
1 US$ in thousands
The analysis of the annual financial data over the examined period reveals several notable trends in the company's liquidity and short-term financial position.
- Current Assets
- Current assets showed an overall increasing trend from 2005 through 2024, starting at approximately 874 million USD and rising to nearly 2.72 billion USD by the end of the period. There was a slight decline observed between 2007 and 2009, followed by a steady increase from 2010 onwards. The most significant growth occurred post-2016, with a substantial jump from around 1.37 billion USD in 2017 to over 2.46 billion USD in 2021, indicating enhanced short-term resource accumulation in recent years.
- Current Liabilities
- Current liabilities exhibited a less consistent pattern, with fluctuations across the years. The liabilities initially increased moderately from 522 million USD in 2005 to 876 million USD in 2014, and then experienced a sharp rise to 1.61 billion USD in 2020. After peaking at roughly 1.85 billion USD in 2021, they slightly decreased before rising again to nearly 1.88 billion USD in 2024. These variations point to increased short-term obligations particularly in the last decade, corresponding with the growth in current assets.
- Current Ratio
- The current ratio, a key liquidity indicator, demonstrated a declining trend over time with some periods of stabilization. It started at 1.67 in 2005, peaked around 2.23 in 2012, then gradually decreased to a low of 1.09 in 2020. Since 2020, the ratio slightly improved but remained below 1.5, finishing at 1.45 in 2024. This indicates a reduction in the margin of safety over time, suggesting that although current assets increased markedly, current liabilities grew even more significantly, putting some pressure on short-term liquidity.
In summary, while there is a clear accumulation of current assets over the years, the proportionally greater increase in current liabilities has resulted in a declining current ratio. This trend points to heightened short-term financial obligations relative to liquid resources, which could impact the company's ability to meet immediate liabilities without additional financing measures. The recent modest improvement in the current ratio may reflect efforts to balance these elements but does not fully restore the earlier liquidity levels observed in the first decade of the data.
Comparison to Competitors
Williams-Sonoma Inc., current ratio, long-term trends, comparison to competitors
| Williams-Sonoma Inc. | Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|---|
| Jan 28, 2024 | 1.45 | 1.06 | 1.35 | 1.23 | 1.21 |
| Jan 29, 2023 | 1.24 | 1.05 | 1.41 | 1.10 | 1.21 |
| Jan 30, 2022 | 1.31 | 0.94 | 1.01 | 1.02 | 1.27 |
| Jan 31, 2021 | 1.34 | 1.14 | 1.23 | 1.19 | 1.46 |
| Feb 2, 2020 | 1.09 | 1.05 | 1.08 | 1.01 | 1.24 |
| Feb 3, 2019 | 1.58 | 1.10 | 1.11 | 0.98 | 1.53 |
| Jan 28, 2018 | 1.62 | 1.10 | 1.17 | 1.06 | 1.66 |
| Jan 29, 2017 | 1.42 | 1.04 | 1.25 | 1.00 | 1.63 |
| Jan 31, 2016 | 1.34 | 1.04 | 1.36 | 1.01 | 1.54 |
| Feb 1, 2015 | 1.59 | 1.08 | 1.36 | 1.08 | 1.71 |
| Feb 2, 2014 | 1.65 | 1.12 | 1.42 | 1.16 | 1.72 |
| Feb 3, 2013 | 2.00 | 1.07 | 1.34 | 1.27 | 1.52 |
| Jan 29, 2012 | 2.23 | 1.12 | 1.55 | 1.28 | 1.68 |
| Jan 30, 2011 | 2.20 | 1.17 | 1.33 | 1.40 | 1.63 |
| Jan 31, 2010 | 2.09 | 1.33 | 1.34 | 1.32 | 1.66 |
| Feb 1, 2009 | 2.04 | 1.33 | 1.20 | 1.15 | 1.31 |
| Feb 3, 2008 | 1.72 | 1.30 | 1.15 | 1.12 | 1.45 |
| Jan 28, 2007 | 1.75 | 1.39 | 1.39 | 1.27 | 1.57 |
| Jan 29, 2006 | 1.83 | 1.33 | 1.19 | 1.34 | 1.39 |
| Jan 30, 2005 | 1.67 | 1.52 | 1.35 | 1.22 | 1.32 |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
Williams-Sonoma Inc., current ratio, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| Williams-Sonoma Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Jan 28, 2024 | 1.45 | 1.11 |
| Jan 29, 2023 | 1.24 | 1.10 |
| Jan 30, 2022 | 1.31 | 0.98 |
| Jan 31, 2021 | 1.34 | 1.17 |
| Feb 2, 2020 | 1.09 | 1.06 |
| Feb 3, 2019 | 1.58 | 1.10 |
| Jan 28, 2018 | 1.62 | 1.13 |
| Jan 29, 2017 | 1.42 | 1.10 |
| Jan 31, 2016 | 1.34 | 1.12 |
| Feb 1, 2015 | 1.59 | 1.17 |
| Feb 2, 2014 | 1.65 | 1.23 |
| Feb 3, 2013 | 2.00 | 1.21 |
| Jan 29, 2012 | 2.23 | 1.30 |
| Jan 30, 2011 | 2.20 | 1.31 |
| Jan 31, 2010 | 2.09 | 1.36 |
| Feb 1, 2009 | 2.04 | 1.23 |
| Feb 3, 2008 | 1.72 | 1.20 |
| Jan 28, 2007 | 1.75 | 1.38 |
| Jan 29, 2006 | 1.83 | 1.26 |
| Jan 30, 2005 | 1.67 | 1.32 |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).
Comparison to Industry (Consumer Discretionary)
Williams-Sonoma Inc., current ratio, long-term trends, comparison to industry (consumer discretionary)
| Williams-Sonoma Inc. | Consumer Discretionary | |
|---|---|---|
| Jan 28, 2024 | 1.45 | 1.22 |
| Jan 29, 2023 | 1.24 | 1.20 |
| Jan 30, 2022 | 1.31 | 1.15 |
| Jan 31, 2021 | 1.34 | 1.25 |
| Feb 2, 2020 | 1.09 | 1.19 |
| Feb 3, 2019 | 1.58 | 1.10 |
| Jan 28, 2018 | 1.62 | 1.15 |
| Jan 29, 2017 | 1.42 | 1.15 |
| Jan 31, 2016 | 1.34 | 1.12 |
| Feb 1, 2015 | 1.59 | 1.25 |
| Feb 2, 2014 | 1.65 | 1.11 |
| Feb 3, 2013 | 2.00 | 1.15 |
| Jan 29, 2012 | 2.23 | 1.14 |
| Jan 30, 2011 | 2.20 | 1.31 |
| Jan 31, 2010 | 2.09 | 1.24 |
| Feb 1, 2009 | 2.04 | 1.25 |
| Feb 3, 2008 | 1.72 | 0.96 |
| Jan 28, 2007 | 1.75 | 1.21 |
| Jan 29, 2006 | 1.83 | 1.15 |
| Jan 30, 2005 | 1.67 | 1.10 |
Based on: 10-K (reporting date: 2024-01-28), 10-K (reporting date: 2023-01-29), 10-K (reporting date: 2022-01-30), 10-K (reporting date: 2021-01-31), 10-K (reporting date: 2020-02-02), 10-K (reporting date: 2019-02-03), 10-K (reporting date: 2018-01-28), 10-K (reporting date: 2017-01-29), 10-K (reporting date: 2016-01-31), 10-K (reporting date: 2015-02-01), 10-K (reporting date: 2014-02-02), 10-K (reporting date: 2013-02-03), 10-K (reporting date: 2012-01-29), 10-K (reporting date: 2011-01-30), 10-K (reporting date: 2010-01-31), 10-K (reporting date: 2009-02-01), 10-K (reporting date: 2008-02-03), 10-K (reporting date: 2007-01-28), 10-K (reporting date: 2006-01-29), 10-K (reporting date: 2005-01-30).