Warner Music Group Balance Sheet Health
Financial Health criteria checks 2/6
Warner Music Group has a total shareholder equity of $675.0M and total debt of $4.0B, which brings its debt-to-equity ratio to 594.7%. Its total assets and total liabilities are $9.2B and $8.5B respectively. Warner Music Group's EBIT is $1.0B making its interest coverage ratio 6.5. It has cash and short-term investments of $694.0M.
Key information
594.7%
Debt to equity ratio
US$4.01b
Debt
| Interest coverage ratio | 6.5x |
| Cash | US$694.00m |
| Equity | US$675.00m |
| Total liabilities | US$8.48b |
| Total assets | US$9.16b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: WA4's short term assets ($2.6B) do not cover its short term liabilities ($3.9B).
Long Term Liabilities: WA4's short term assets ($2.6B) do not cover its long term liabilities ($4.6B).
Debt to Equity History and Analysis
Debt Level: WA4's net debt to equity ratio (491.9%) is considered high.
Reducing Debt: WA4 had negative shareholder equity 5 years ago, but is now positive and has therefore improved.
Debt Coverage: WA4's debt is not well covered by operating cash flow (18.8%).
Interest Coverage: WA4's interest payments on its debt are well covered by EBIT (6.5x coverage).