Canadian Tire Corporation Balance Sheet Health
Financial Health criteria checks 4/6
Canadian Tire has a total shareholder equity of CA$6.5B and total debt of CA$9.7B, which brings its debt-to-equity ratio to 150.2%. Its total assets and total liabilities are CA$22.4B and CA$16.0B respectively. Canadian Tire's EBIT is CA$1.3B making its interest coverage ratio 3.7. It has cash and short-term investments of CA$592.9M.
Key information
150.2%
Debt to equity ratio
CA$9.69b
Debt
Interest coverage ratio | 3.7x |
Cash | CA$592.90m |
Equity | CA$6.45b |
Total liabilities | CA$15.98b |
Total assets | CA$22.43b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: CTC's short term assets (CA$11.9B) exceed its short term liabilities (CA$6.7B).
Long Term Liabilities: CTC's short term assets (CA$11.9B) exceed its long term liabilities (CA$9.2B).
Debt to Equity History and Analysis
Debt Level: CTC's net debt to equity ratio (141%) is considered high.
Reducing Debt: CTC's debt to equity ratio has reduced from 163.9% to 150.2% over the past 5 years.
Debt Coverage: CTC's debt is not well covered by operating cash flow (18.4%).
Interest Coverage: CTC's interest payments on its debt are well covered by EBIT (3.7x coverage).