Merck Balance Sheet Health
Financial Health criteria checks 4/6
Merck has a total shareholder equity of $44.6B and total debt of $38.1B, which brings its debt-to-equity ratio to 85.6%. Its total assets and total liabilities are $117.5B and $73.0B respectively. Merck's EBIT is $18.9B making its interest coverage ratio 20.7. It has cash and short-term investments of $14.6B.
Key information
85.6%
Debt to equity ratio
US$38.13b
Debt
| Interest coverage ratio | 20.7x |
| Cash | US$14.59b |
| Equity | US$44.56b |
| Total liabilities | US$72.97b |
| Total assets | US$117.53b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: 6MK's short term assets ($40.4B) exceed its short term liabilities ($29.6B).
Long Term Liabilities: 6MK's short term assets ($40.4B) do not cover its long term liabilities ($43.4B).
Debt to Equity History and Analysis
Debt Level: 6MK's net debt to equity ratio (52.8%) is considered high.
Reducing Debt: 6MK's debt to equity ratio has reduced from 96.9% to 85.6% over the past 5 years.
Debt Coverage: 6MK's debt is well covered by operating cash flow (47.9%).
Interest Coverage: 6MK's interest payments on its debt are well covered by EBIT (20.7x coverage).