Rentokil Initial Balance Sheet Health
Financial Health criteria checks 3/6
Rentokil Initial has a total shareholder equity of £4.2B and total debt of £4.4B, which brings its debt-to-equity ratio to 105.8%. Its total assets and total liabilities are £11.2B and £7.1B respectively. Rentokil Initial's EBIT is £731.0M making its interest coverage ratio 4.8. It has cash and short-term investments of £1.6B.
Key information
105.8%
Debt to equity ratio
UK£4.41b
Debt
| Interest coverage ratio | 4.8x |
| Cash | UK£1.56b |
| Equity | UK£4.16b |
| Total liabilities | UK£7.07b |
| Total assets | UK£11.23b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: RTO1's short term assets (£2.7B) exceed its short term liabilities (£2.6B).
Long Term Liabilities: RTO1's short term assets (£2.7B) do not cover its long term liabilities (£4.4B).
Debt to Equity History and Analysis
Debt Level: RTO1's net debt to equity ratio (68.4%) is considered high.
Reducing Debt: RTO1's debt to equity ratio has reduced from 192.7% to 105.8% over the past 5 years.
Debt Coverage: RTO1's debt is not well covered by operating cash flow (16.2%).
Interest Coverage: RTO1's interest payments on its debt are well covered by EBIT (4.8x coverage).