MHP Balance Sheet Health
Financial Health criteria checks 4/6
MHP has a total shareholder equity of $1.6B and total debt of $1.5B, which brings its debt-to-equity ratio to 94%. Its total assets and total liabilities are $4.0B and $2.3B respectively. MHP's EBIT is $376.1M making its interest coverage ratio 3.3. It has cash and short-term investments of $327.0M.
Key information
94.0%
Debt to equity ratio
US$1.54b
Debt
| Interest coverage ratio | 3.3x |
| Cash | US$327.00m |
| Equity | US$1.64b |
| Total liabilities | US$2.33b |
| Total assets | US$3.97b |
Financial Position Analysis
Short Term Liabilities: MHPC's short term assets ($1.6B) exceed its short term liabilities ($625.0M).
Long Term Liabilities: MHPC's short term assets ($1.6B) do not cover its long term liabilities ($1.7B).
Debt to Equity History and Analysis
Debt Level: MHPC's net debt to equity ratio (74%) is considered high.
Reducing Debt: MHPC's debt to equity ratio has reduced from 96.2% to 94% over the past 5 years.
Debt Coverage: MHPC's debt is well covered by operating cash flow (20%).
Interest Coverage: MHPC's interest payments on its debt are well covered by EBIT (3.3x coverage).