Cracker Barrel Old Country Store (CBRL)

Current ratio

		Aug 2, 2024	Jul 28, 2023	Jul 29, 2022	Jul 30, 2021	Jul 31, 2020
Total current assets	US$ in thousands	278,214	282,287	317,276	353,596	643,012
Total current liabilities	US$ in thousands	454,207	488,966	502,324	465,262	451,056
Current ratio		0.61	0.58	0.63	0.76	1.43

August 2, 2024 calculation

Current ratio = Total current assets ÷ Total current liabilities
= $278,214K ÷ $454,207K
= 0.61

The current ratio of Cracker Barrel Old Country Store has fluctuated over the past five years, indicating varying levels of short-term liquidity. The current ratio measures the company's ability to cover its short-term obligations with its current assets.

In 2024, the current ratio was 0.61, a decrease from the previous year's ratio of 0.58. This indicates that the company may have had difficulties meeting its short-term obligations as its current assets were not sufficient to cover its current liabilities effectively.

It is worth noting that the current ratio has been declining over the past five years, suggesting a deteriorating short-term liquidity position. In 2020, the company had a notably high current ratio of 1.43, indicating a strong ability to cover short-term obligations. However, this ratio has steadily decreased over the subsequent years.

Overall, the trend in Cracker Barrel Old Country Store's current ratio indicates a potential risk in the company's ability to meet its short-term financial obligations with its current assets. This may be a point of concern for investors and stakeholders as it suggests a weakening liquidity position over time. Further analysis of the company's financial statements and other relevant information may be needed to gain a deeper understanding of its financial health and performance.