Open Text Balance Sheet Health
Financial Health criteria checks 1/6
Open Text has a total shareholder equity of $4.0B and total debt of $8.5B, which brings its debt-to-equity ratio to 211.4%. Its total assets and total liabilities are $16.4B and $12.4B respectively. Open Text's EBIT is $852.8M making its interest coverage ratio 1.7. It has cash and short-term investments of $1.0B.
Key information
211.4%
Debt to equity ratio
US$8.52b
Debt
Interest coverage ratio | 1.7x |
Cash | US$1.01b |
Equity | US$4.03b |
Total liabilities | US$12.41b |
Total assets | US$16.44b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: OTEX's short term assets ($4.1B) exceed its short term liabilities ($3.0B).
Long Term Liabilities: OTEX's short term assets ($4.1B) do not cover its long term liabilities ($9.5B).
Debt to Equity History and Analysis
Debt Level: OTEX's net debt to equity ratio (186.4%) is considered high.
Reducing Debt: OTEX's debt to equity ratio has increased from 69.1% to 211.4% over the past 5 years.
Debt Coverage: OTEX's debt is not well covered by operating cash flow (10%).
Interest Coverage: OTEX's interest payments on its debt are not well covered by EBIT (1.7x coverage).