Boot Barn Holdings Inc (BOOT)
Interest coverage
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | — | 199,610 | 231,758 | 258,373 | 86,692 |
| Interest expense | US$ in thousands | 1,497 | 2,238 | 5,880 | 5,780 | 9,442 |
| Interest coverage | 0.00 | 89.19 | 39.41 | 44.70 | 9.18 |
March 31, 2025 calculation
Interest coverage = EBIT ÷ Interest expense
= $—K ÷ $1,497K
= 0.00
Boot Barn Holdings Inc's interest coverage ratio has shown significant fluctuations over the past five years. As of March 31, 2021, the interest coverage ratio was 9.18, indicating that the company earned 9.18 times the amount needed to cover its interest expenses. Subsequently, the interest coverage ratio improved dramatically to 44.70 by March 31, 2022, signaling a strong ability to meet interest obligations with its earnings.
In the following years, Boot Barn Holdings Inc maintained a healthy interest coverage ratio, with values of 39.41 as of March 31, 2023, and 89.19 as of March 31, 2024. These ratios suggest a robust financial position, with ample earnings to cover interest expenses multiple times over.
However, the interest coverage ratio dropped sharply to 0.00 as of March 31, 2025. A ratio of 0.00 indicates that the company's earnings were not sufficient to cover its interest expenses during that period, raising concerns about its ability to meet debt obligations with existing earnings.
Overall, despite the fluctuations observed, Boot Barn Holdings Inc has generally displayed strong interest coverage ratios in recent years, except for the notable decline in 2025. It would be crucial for the company to closely monitor its interest coverage ratio going forward to ensure sustainable financial health and effective management of its debt obligations.
Peer comparison
Mar 31, 2025