Boot Barn Holdings Inc (BOOT)
Interest coverage
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 198,214 | 222,686 | 220,035 | 225,607 | 231,787 | 231,460 | 251,156 | 257,120 | 258,338 | 228,809 | 178,243 | 138,171 | 86,326 | 63,162 | 56,513 | 59,405 | 73,668 | 80,471 | 74,791 | 70,554 |
| Interest expense (ttm) | US$ in thousands | 672 | 682 | 692 | 703 | 713 | 726 | 737 | 754 | 774 | 2,702 | 4,817 | 7,003 | 9,442 | 10,268 | 11,120 | 12,047 | 13,310 | 14,436 | 15,292 | 16,135 |
| Interest coverage | 294.96 | 326.52 | 317.97 | 320.92 | 325.09 | 318.82 | 340.78 | 341.01 | 333.77 | 84.68 | 37.00 | 19.73 | 9.14 | 6.15 | 5.08 | 4.93 | 5.53 | 5.57 | 4.89 | 4.37 |
March 31, 2024 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $198,214K ÷ $672K
= 294.96
The interest coverage ratio of Boot Barn Holdings Inc has shown a strong upward trend over the past few quarters, indicating the company's ability to comfortably meet its interest obligations. As of March 31, 2024, the interest coverage ratio stood at 294.96, significantly higher than previous quarters, demonstrating a robust ability to cover its interest expenses with its operating income.
The trend of increasing interest coverage ratios reflects the company's improving financial health and efficiency in generating operating profits relative to its interest expenses. The notable improvement in the latest quarter suggests that Boot Barn Holdings Inc has been effectively managing its debt levels and operating performance, which bodes well for its financial stability and ability to service its debt obligations.
It is important to note that the interest coverage ratio can fluctuate over time due to changes in operating income and interest expenses. The company's ability to maintain a high interest coverage ratio indicates a lower risk of default on its debt obligations and provides investors and creditors with confidence in its financial strength.
Overall, the consistent improvement in Boot Barn Holdings Inc's interest coverage ratio signifies a positive trend in its financial performance and highlights its ability to manage its debt effectively.
Peer comparison
Mar 31, 2024