The @Cacheable annotation in Spring Boot helps store method results in a cache. When a method with @Cacheable is called, Spring checks if the result for the given key is already cached. If yes, it returns the cached result without running the method again. If no, it runs the method, stores the result in the cache, and then returns it. This saves time by avoiding repeated slow operations like database calls. For example, calling findBookById(1) first time fetches from DB and caches the book. The next call with id 1 returns the cached book instantly. The execution table shows each step: checking cache, method execution, caching, and returning values. The variable tracker shows how the cache grows as new keys are added. This caching pattern is useful for read-heavy methods where data changes infrequently.