Ethan Allen Interiors Inc (ETD)

Quick 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 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
Receivables US$ in thousands 6,066 7,312 5,008 6,855 6,766 7,991 6,831 11,053 11,577 15,817 10,696 8,607 17,019 11,549 7,495 7,942 9,026 11,573 8,985 13,241
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
Quick ratio 0.54 1.14 0.96 0.91 1.09 0.99 1.13 1.06 1.13 0.99 0.86 0.73 0.64 0.50 0.51 0.44 0.51 0.53 0.47 0.40

June 30, 2025 calculation

Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($76,178K + $—K + $6,066K) ÷ $152,851K
= 0.54

The analysis of Ethan Allen Interiors Inc.'s quick ratio over the specified period reveals a trend characterized by fluctuations within a generally improving trajectory from late 2020 to mid-2025. Starting at a low of 0.40 on September 30, 2020, the quick ratio exhibits a gradual upward movement, reaching 0.47 at the end of 2020, and continuing to increase through 2021, peaking at 0.73 on September 30, 2022. This indicates a strengthening liquidity position, with the company's ability to meet its short-term obligations using its most liquid assets improving over this period.

From late 2022 onward, there is a notable acceleration in the quick ratio's growth, reaching a high of 1.14 as of March 31, 2025. This suggests that the company's liquid assets have grown in proportion relative to its current liabilities, reflecting enhanced liquidity management and possibly improved cash holdings or accounts receivable relative to current liabilities.

However, a brief decline is observed on June 30, 2025, where the ratio drops to 0.54 before slightly rebounding to 1.14 by the end of the period under review. This decrease may signal a temporary reduction in liquid assets or an increase in current liabilities, yet the quick ratio remains within a generally healthy range overall.

Throughout the period, the ratio remains below 1.0 in the initial years, indicating that the company's liquid assets were insufficient to cover all current liabilities, which is typical in periods of operational growth or strategic investments. The subsequent increase to above 1.0 demonstrates an improved liquidity stance, providing a more conservative buffer for short-term obligations.

In summary, Ethan Allen Interiors Inc.’s quick ratio has shown a consistent upward trend from 2020 through early 2025, reflecting a strengthening liquidity position and increased capacity to cover immediate liabilities with liquid assets. The fluctuations within this period highlight the dynamic nature of short-term liquidity management, with recent ratios demonstrating a solid and stable liquidity profile.


Peer comparison

Jun 30, 2025

Company name
Symbol
Quick ratio
Ethan Allen Interiors Inc
ETD
0.54
MasterBrand Inc.
MBC
0.79