Boyd Gaming Corporation (BYD)

Liquidity ratios

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 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
Current ratio 0.90 0.82 0.83 0.80 0.89 0.80 0.84 0.77 0.82 0.76 0.78 0.99 0.91 1.26 0.89 1.59 1.24 1.23 2.86 1.92
Quick ratio 0.51 0.47 0.48 0.48 0.52 0.46 0.48 0.45 0.48 0.44 0.47 0.69 0.62 1.01 0.63 1.34 0.99 0.97 2.57 1.66
Cash ratio 0.51 0.47 0.48 0.48 0.52 0.46 0.48 0.45 0.48 0.44 0.47 0.69 0.62 1.01 0.63 1.34 0.99 0.97 2.57 1.66

Boyd Gaming Corporation's liquidity ratios have shown some fluctuations over the period under consideration. The current ratio, which measures the company's ability to meet short-term obligations with its current assets, ranged from a high of 2.86 in June 2020 to a low of 0.76 in September 2022. The ratio has generally been above 1, indicating that the company has had sufficient current assets to cover its current liabilities, although there have been some periods where the ratio fell below the threshold.

The quick ratio, which provides a more stringent measure of liquidity by excluding inventory from current assets, also exhibited variability. It reached a peak of 2.57 in June 2020 but declined to 0.44 in September 2022, before gradually improving to 0.51 by December 2024. The downward trend in the quick ratio suggests that the company may have faced challenges in meeting its short-term obligations without relying on inventory liquidation.

The cash ratio, which reflects the company's ability to cover its current liabilities with cash and cash equivalents, mirrored the fluctuations seen in the quick ratio. The ratio ranged from 0.47 to 1.34 over the period, indicating that Boyd Gaming Corporation has generally maintained a sufficient level of cash to meet its immediate financial obligations. However, the ratio experienced a decline in the middle of the period, possibly indicating challenges in maintaining high levels of cash reserves.

Overall, Boyd Gaming Corporation's liquidity ratios have shown some volatility, with periods of both strength and weakness. It is essential for the company to closely monitor its liquidity position and ensure that it maintains an appropriate level of liquidity to navigate potential financial challenges.

Additional liquidity measure

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 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
Cash conversion cycle days 4.31 4.09 3.88 3.98 4.22 4.47 4.74 4.93 5.17 5.30 5.10 5.05 5.12 5.33 5.82 7.60 7.96 7.02 6.80 4.83

The cash conversion cycle of Boyd Gaming Corporation has exhibited a decreasing trend over the analyzed period. The company's cash conversion cycle, which measures the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, decreased from 4.83 days on March 31, 2020, to 4.31 days on December 31, 2024.

A lower cash conversion cycle indicates that Boyd Gaming Corporation has been able to manage its working capital efficiently, reducing the time it takes to generate cash from its operational activities. This can be attributed to effective inventory management, prompt collection of accounts receivable, and efficient payment of accounts payable.

The decreasing trend in the cash conversion cycle suggests that Boyd Gaming Corporation has been operating more efficiently in recent years, which is a positive signal for the company's financial health. Overall, the improving cash conversion cycle indicates that the company has been managing its cash flows effectively and optimizing its working capital management strategies.