Brinker International Inc (EAT)

Cash ratio

		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 23, 2020	Sep 23, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Cash and cash equivalents	US$ in thousands	64,600	15,500	22,700	14,400	15,100	13,800	14,700	19,500	13,500	12,900	15,600	31,200	23,900	63,600	64,100	58,800	43,900	167,200	12,000	29,000
Short-term investments	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total current liabilities	US$ in thousands	622,300	579,100	590,000	541,600	535,900	585,700	573,500	573,600	558,000	583,100	569,400	547,200	571,600	577,800	520,300	509,500	497,900	520,000	552,400	516,400
Cash ratio		0.10	0.03	0.04	0.03	0.03	0.02	0.03	0.03	0.02	0.02	0.03	0.06	0.04	0.11	0.12	0.12	0.09	0.32	0.02	0.06

June 30, 2024 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($64,600K + $—K) ÷ $622,300K
= 0.10

The cash ratio of Brinker International Inc has varied over the past few quarters, ranging from 0.02 to 0.32. The cash ratio measures a company's ability to cover its short-term liabilities with its available cash and cash equivalents.

The company's cash ratio improved significantly in the fourth quarter of 2021 and the first quarter of 2021, reaching 0.32 and 0.11 respectively, indicating a stronger ability to meet short-term obligations from its cash reserves during those periods. However, in the subsequent quarters, the cash ratio fluctuated within a lower range, with values between 0.02 and 0.06. This suggests that Brinker International Inc may have had less cash on hand relative to its short-term liabilities during those quarters.

Overall, while the cash ratio provides insight into the company's liquidity position, it is essential to consider the trend over time to assess whether the company is effectively managing its cash resources to meet its short-term obligations.