Gates Industrial Balance Sheet Health
Financial Health criteria checks 3/6
Gates Industrial has a total shareholder equity of $3.5B and total debt of $2.5B, which brings its debt-to-equity ratio to 70.8%. Its total assets and total liabilities are $7.3B and $3.7B respectively. Gates Industrial's EBIT is $481.0M making its interest coverage ratio 3.3. It has cash and short-term investments of $750.5M.
Key information
70.8%
Debt to equity ratio
US$2.51b
Debt
Interest coverage ratio | 3.3x |
Cash | US$750.50m |
Equity | US$3.54b |
Total liabilities | US$3.71b |
Total assets | US$7.25b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: 1JL's short term assets ($2.4B) exceed its short term liabilities ($701.6M).
Long Term Liabilities: 1JL's short term assets ($2.4B) do not cover its long term liabilities ($3.0B).
Debt to Equity History and Analysis
Debt Level: 1JL's net debt to equity ratio (49.6%) is considered high.
Reducing Debt: 1JL's debt to equity ratio has reduced from 129% to 70.8% over the past 5 years.
Debt Coverage: 1JL's debt is not well covered by operating cash flow (19.2%).
Interest Coverage: 1JL's interest payments on its debt are well covered by EBIT (3.3x coverage).