Ethan Allen Interiors Inc (ETD)

Cash ratio

Jun 30, 2025 Mar 31, 2025 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
Cash and cash equivalents US$ in thousands 76,178 65,731 57,075 59,234 69,710 63,862 55,051 56,888 62,130 61,031 85,392 92,878 109,919 95,045 105,207 93,665 104,596 108,956 80,035 61,973
Short-term investments US$ in thousands 107,202 82,049 76,730 91,319 82,356 97,679 106,284 110,577 95,171 55,030 49,566 11,199 9,525
Total current liabilities US$ in thousands 152,851 157,786 150,079 157,315 153,696 156,109 140,930 164,942 163,097 174,356 175,715 208,290 215,643 230,437 222,817 232,767 223,902 225,946 187,478 187,889
Cash ratio 0.50 1.10 0.93 0.86 1.05 0.94 1.08 0.99 1.06 0.90 0.80 0.68 0.56 0.45 0.47 0.40 0.47 0.48 0.43 0.33

June 30, 2025 calculation

Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($76,178K + $—K) ÷ $152,851K
= 0.50

The cash ratio of Ethan Allen Interiors Inc. demonstrates a notable upward trend from September 30, 2020, through March 31, 2025, with some fluctuations. Starting at 0.33 in September 2020, the ratio increased steadily over the period, reaching a peak of approximately 1.10 in March 2025. This indicates a significant improvement in the company's liquidity position relative to its current liabilities, as it suggests that Ethan Allen holds sufficient cash and cash equivalents to cover nearly all of its current obligations.

Throughout this period, the cash ratio experienced incremental growth, reflecting an increasingly conservative cash management strategy or a potential shift toward maintaining higher cash reserves. For example, the ratio rose consistently between December 2020 and December 2022, surpassing 0.80 in December 2022, which indicates the company's capacity to meet its short-term liabilities with cash on hand alone.

The data reveals continued strengthening of liquidity, especially from September 2022 onward, with the ratio approaching 1.00 by September 2023. The values exceeding 1.00, observed in December 2023 and March 2025, imply that Ethan Allen's cash holdings are more than sufficient to cover its current liabilities, providing a high degree of liquidity safety.

This upward trajectory suggests a strategic emphasis on maintaining ample liquidity, possibly in response to market conditions, operational considerations, or risk management policies. Overall, the trend reflects a progressively robust cash position, reducing liquidity risk and enhancing financial stability across the analyzed period.


Peer comparison

Jun 30, 2025

Company name
Symbol
Cash ratio
Ethan Allen Interiors Inc
ETD
0.50
MasterBrand Inc.
MBC
0.31