Southwest Airlines Balance Sheet Health
Financial Health criteria checks 3/6
Southwest Airlines has a total shareholder equity of $10.4B and total debt of $8.0B, which brings its debt-to-equity ratio to 76.6%. Its total assets and total liabilities are $34.8B and $24.4B respectively. Southwest Airlines's EBIT is $263.0M making its interest coverage ratio -0.8. It has cash and short-term investments of $9.4B.
Key information
76.6%
Debt to equity ratio
US$7.98b
Debt
| Interest coverage ratio | -0.8x |
| Cash | US$9.38b |
| Equity | US$10.41b |
| Total liabilities | US$24.44b |
| Total assets | US$34.85b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: S1OU34's short term assets ($11.9B) do not cover its short term liabilities ($13.5B).
Long Term Liabilities: S1OU34's short term assets ($11.9B) exceed its long term liabilities ($10.9B).
Debt to Equity History and Analysis
Debt Level: S1OU34 has more cash than its total debt.
Reducing Debt: S1OU34's debt to equity ratio has increased from 24% to 76.6% over the past 5 years.
Debt Coverage: S1OU34's debt is not well covered by operating cash flow (5.2%).
Interest Coverage: S1OU34 earns more interest than it pays, so coverage of interest payments is not a concern.