Box Inc (BOX)

Cash ratio

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020
Cash and cash equivalents	US$ in thousands	624,575	608,765	406,620	449,507	384,257	377,911	395,965	481,435	428,465	358,060	348,783	391,377	416,274	568,265	779,416	561,459	595,082	275,400	271,874	267,973
Short-term investments	US$ in thousands	98,241	89,150	75,605	116,616	96,948	61,795	49,438	35,579	32,783	44,567	44,745	127,889	170,000	140,000	50,000	50,000	—	—	—	—
Total current liabilities	US$ in thousands	922,076	587,104	586,914	591,438	679,280	570,627	593,452	620,699	715,827	597,396	621,600	612,711	718,975	587,788	577,929	552,705	612,839	496,510	514,638	511,200
Cash ratio		0.78	1.19	0.82	0.96	0.71	0.77	0.75	0.83	0.64	0.67	0.63	0.85	0.82	1.20	1.44	1.11	0.97	0.55	0.53	0.52

January 31, 2025 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($624,575K + $98,241K) ÷ $922,076K
= 0.78

The cash ratio of Box Inc has shown fluctuations over the period from April 2020 to January 2025. The ratio started at 0.52 in April 2020 and gradually increased to a peak of 1.44 in July 2021. Subsequently, there was a decline in the ratio, reaching a low of 0.63 in July 2022, before recovering to 1.19 in October 2024. However, by January 2025, the ratio decreased to 0.78.

Overall, the cash ratio indicates the company's ability to cover its short-term liabilities with its cash and cash equivalents. A higher cash ratio typically suggests a stronger liquidity position, while a lower ratio implies a lower level of liquidity. Box Inc's cash ratio fluctuated over the period, reflecting changes in its cash position relative to its short-term obligations. Ongoing monitoring of the cash ratio will be essential to assess the company's liquidity management and financial health.