Tesco Balance Sheet Health
Financial Health criteria checks 4/6
Tesco has a total shareholder equity of £11.6B and total debt of £7.1B, which brings its debt-to-equity ratio to 61.3%. Its total assets and total liabilities are £47.6B and £36.0B respectively. Tesco's EBIT is £3.0B making its interest coverage ratio 5.8. It has cash and short-term investments of £4.2B.
Key information
61.3%
Debt to equity ratio
UK£7.10b
Debt
| Interest coverage ratio | 5.8x |
| Cash | UK£4.24b |
| Equity | UK£11.58b |
| Total liabilities | UK£35.98b |
| Total assets | UK£47.56b |
Recent financial health updates
Recent updates
Financial Position Analysis
Short Term Liabilities: TCO0's short term assets (£17.8B) do not cover its short term liabilities (£22.0B).
Long Term Liabilities: TCO0's short term assets (£17.8B) exceed its long term liabilities (£14.0B).
Debt to Equity History and Analysis
Debt Level: TCO0's net debt to equity ratio (24.7%) is considered satisfactory.
Reducing Debt: TCO0's debt to equity ratio has increased from 49.5% to 61.3% over the past 5 years.
Debt Coverage: TCO0's debt is well covered by operating cash flow (50.3%).
Interest Coverage: TCO0's interest payments on its debt are well covered by EBIT (5.8x coverage).