Ethan Allen Interiors Inc (ETD)
Current 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 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total current assets | US$ in thousands | 332,683 | 326,310 | 325,959 | 352,798 | 359,453 | 351,949 | 338,406 | 351,694 | 346,749 | 340,849 | 316,244 | 300,842 | 295,279 | 291,120 | 245,928 | 232,461 | 229,952 | 287,328 | 199,440 | 232,831 |
| Total current liabilities | US$ in thousands | 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 | 138,978 | 146,863 | 137,442 | 159,899 |
| Current ratio | 2.16 | 2.09 | 2.31 | 2.14 | 2.20 | 2.02 | 1.93 | 1.69 | 1.61 | 1.48 | 1.42 | 1.29 | 1.32 | 1.29 | 1.31 | 1.24 | 1.65 | 1.96 | 1.45 | 1.46 |
June 30, 2024 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $332,683K ÷ $153,696K
= 2.16
The current ratio of Ethan Allen Interiors Inc has fluctuated over the past few quarters. The ratio has shown an upward trend since the end of 2021, increasing from 1.42 as of March 31, 2022, to 2.16 as of June 30, 2024. This improvement indicates that the company's current assets, such as cash and accounts receivable, relative to its current liabilities have strengthened over time.
A current ratio above 1 suggests that the company has more current assets than current liabilities, which is generally considered favorable as it indicates the company's ability to meet its short-term obligations. A current ratio of 2.16 as of June 30, 2024, indicates that Ethan Allen Interiors Inc had $2.16 in current assets for every $1 of current liabilities.
While a higher current ratio is generally preferred, it is important to note that an excessively high ratio may indicate that the company is not efficiently utilizing its current assets. Therefore, ongoing monitoring of the current ratio and other liquidity ratios will be crucial to assess the company's short-term financial health and liquidity position.
Peer comparison
Jun 30, 2024