La-Z-Boy Incorporated (LZB)
Cash ratio
| Apr 30, 2024 | Apr 27, 2024 | Apr 30, 2023 | Apr 29, 2023 | Apr 30, 2022 | ||
|---|---|---|---|---|---|---|
| Cash and cash equivalents | US$ in thousands | 341,098 | 341,098 | 343,374 | 343,374 | 245,589 |
| Short-term investments | US$ in thousands | 6,812 | 6,812 | 6,394 | 6,394 | 17,359 |
| Total current liabilities | US$ in thousands | 437,281 | 437,281 | 475,861 | 475,861 | 675,689 |
| Cash ratio | 0.80 | 0.80 | 0.74 | 0.74 | 0.39 |
April 30, 2024 calculation
Cash ratio = (Cash and cash equivalents + Short-term investments) ÷ Total current liabilities
= ($341,098K
+ $6,812K)
÷ $437,281K
= 0.80
The cash ratio for La-Z-Boy Incorporated has shown a positive trend over the past few years. As of April 30, 2022, the company had a cash ratio of 0.39, indicating that they had $0.39 in cash and cash equivalents for every $1 of current liabilities. This ratio improved to 0.74 by April 29, 2023, and remained steady at 0.74 by April 30, 2023. By April 27, 2024, the cash ratio increased further to 0.80, and it was maintained at the same level by April 30, 2024.
This upward trend in the cash ratio suggests that La-Z-Boy Incorporated has been managing its liquidity position effectively, with a higher proportion of cash available to cover its short-term obligations. This indicates a strengthened financial position, as the company has more liquid assets to meet its immediate financial needs. Overall, the increasing trend in the cash ratio reflects positively on the company's ability to manage its working capital and short-term financial obligations.
Peer comparison
Apr 30, 2024