Boot Barn Holdings Inc (BOOT)

Cash ratio

Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021 Mar 31, 2020
Cash and cash equivalents US$ in thousands 75,847 18,193 20,674 73,148 69,563
Short-term investments US$ in thousands
Total current liabilities US$ in thousands 312,808 374,842 336,468 221,656 312,625
Cash ratio 0.24 0.05 0.06 0.33 0.22

March 31, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($75,847K + $—K) ÷ $312,808K
= 0.24

The cash ratio of Boot Barn Holdings Inc has fluctuated over the past five years. As of March 31, 2024, the cash ratio stands at 0.24, indicating that the company had $0.24 in cash and cash equivalents for every $1 of current liabilities. This represents an improvement compared to the previous three years where the cash ratio was relatively lower at 0.05 in 2023, 0.06 in 2022, and 0.22 in 2020. However, in 2021, the company had a higher cash ratio of 0.33, suggesting a stronger liquidity position.

The cash ratio measures a company's ability to cover its short-term obligations with its most liquid assets, cash, and cash equivalents. A higher cash ratio is generally preferred as it indicates a stronger ability to meet short-term financial obligations without relying on external financing.

Overall, Boot Barn Holdings Inc's cash ratio has shown some variability, but the recent improvement in 2024 is a positive sign of enhanced liquidity and financial strength. It is important for the company to continue monitoring and managing its cash position effectively to ensure it can meet its short-term financial obligations efficiently.


Peer comparison

Mar 31, 2024

Company name
Symbol
Cash ratio
Boot Barn Holdings Inc
BOOT
0.24
Designer Brands Inc
DBI
0.08
Foot Locker Inc
FL
0.23
Shoe Carnival Inc
SCVL
0.87