Box Inc (BOX)

Current ratio

		Jan 31, 2025	Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021
Total current assets	US$ in thousands	1,097,780	842,180	806,763	916,564	879,286
Total current liabilities	US$ in thousands	922,076	679,280	715,827	718,975	612,839
Current ratio		1.19	1.24	1.13	1.27	1.43

January 31, 2025 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $1,097,780K ÷ $922,076K
= 1.19

The current ratio of Box Inc has exhibited fluctuations over the past five years. As of January 31, 2021, the current ratio stood at 1.43, indicating the company had $1.43 in current assets for every $1 in current liabilities. Subsequently, there was a decrease to 1.27 by January 31, 2022, implying a slight weakening of the company's short-term liquidity position.

Further decline in the current ratio was observed by January 31, 2023, where the ratio dropped to 1.13, indicating a potential challenge in meeting short-term obligations with current assets alone. However, there was a subsequent improvement in the current ratio to 1.24 by January 31, 2024, suggesting a boost in the company's liquidity position.

As of January 31, 2025, the current ratio stood at 1.19, showing a slight decrease from the previous year but still indicating that Box Inc continues to maintain a relatively healthy liquidity position in the short term. Overall, the trend in the current ratio reflects fluctuations in the company's ability to cover its short-term liabilities with its current assets, highlighting the importance of monitoring liquidity management strategies.