ABB Balance Sheet Health
Financial Health criteria checks 6/6
ABB has a total shareholder equity of $14.8B and total debt of $6.8B, which brings its debt-to-equity ratio to 45.9%. Its total assets and total liabilities are $40.7B and $25.9B respectively. ABB's EBIT is $5.3B making its interest coverage ratio -28.1. It has cash and short-term investments of $4.6B.
Key information
45.9%
Debt to equity ratio
US$6.77b
Debt
| Interest coverage ratio | -28.1x |
| Cash | US$4.60b |
| Equity | US$14.76b |
| Total liabilities | US$25.92b |
| Total assets | US$40.68b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: ABBS's short term assets ($20.8B) exceed its short term liabilities ($15.5B).
Long Term Liabilities: ABBS's short term assets ($20.8B) exceed its long term liabilities ($10.4B).
Debt to Equity History and Analysis
Debt Level: ABBS's net debt to equity ratio (14.7%) is considered satisfactory.
Reducing Debt: ABBS's debt to equity ratio has reduced from 69.5% to 45.9% over the past 5 years.
Debt Coverage: ABBS's debt is well covered by operating cash flow (74.4%).
Interest Coverage: ABBS earns more interest than it pays, so coverage of interest payments is not a concern.