WPP Balance Sheet Health
Financial Health criteria checks 2/6
WPP has a total shareholder equity of £4.0B and total debt of £5.5B, which brings its debt-to-equity ratio to 138.9%. Its total assets and total liabilities are £25.8B and £21.9B respectively. WPP's EBIT is £637.7M making its interest coverage ratio 2.5. It has cash and short-term investments of £2.1B.
Key information
138.9%
Debt to equity ratio
UK£5.50b
Debt
| Interest coverage ratio | 2.5x |
| Cash | UK£2.13b |
| Equity | UK£3.96b |
| Total liabilities | UK£21.86b |
| Total assets | UK£25.81b |
Recent financial health updates
Here's Why WPP (LON:WPP) Has A Meaningful Debt Burden
Oct 11
Does WPP (LON:WPP) Have A Healthy Balance Sheet?
Mar 15Is WPP (LON:WPP) Using Too Much Debt?
Oct 29Is WPP (LON:WPP) Using Too Much Debt?
Jun 19Is WPP (LON:WPP) A Risky Investment?
Dec 06Recent updates
At UK£8.18, Is WPP plc (LON:WPP) Worth Looking At Closely?
Nov 19Here's Why WPP (LON:WPP) Has A Meaningful Debt Burden
Oct 11Investors Appear Satisfied With WPP plc's (LON:WPP) Prospects
Aug 26WPP (LON:WPP) Will Pay A Dividend Of £0.15
Aug 10Benign Growth For WPP plc (LON:WPP) Underpins Its Share Price
May 22WPP (LON:WPP) Is Paying Out A Dividend Of £0.244
Apr 16WPP (LON:WPP) Is Due To Pay A Dividend Of £0.244
Mar 28Does WPP (LON:WPP) Have A Healthy Balance Sheet?
Mar 15Is Now An Opportune Moment To Examine WPP plc (LON:WPP)?
Feb 24WPP plc's (LON:WPP) Subdued P/E Might Signal An Opportunity
Jan 08WPP plc's (LON:WPP) Intrinsic Value Is Potentially 100% Above Its Share Price
Dec 21Is WPP (LON:WPP) Using Too Much Debt?
Oct 29WPP (LON:WPP) Is Due To Pay A Dividend Of £0.15
Oct 11WPP (LON:WPP) Is Due To Pay A Dividend Of £0.15
Sep 19WPP (LON:WPP) Is Paying Out A Dividend Of £0.15
Aug 22WPP (LON:WPP) Is Due To Pay A Dividend Of £0.15
Aug 08An Intrinsic Calculation For WPP plc (LON:WPP) Suggests It's 36% Undervalued
Jul 25Is WPP plc (LON:WPP) Potentially Undervalued?
Jul 07Is WPP (LON:WPP) Using Too Much Debt?
Jun 19WPP (LON:WPP) Will Pay A Larger Dividend Than Last Year At £0.244
May 19Are Investors Undervaluing WPP plc (LON:WPP) By 44%?
Apr 23WPP (LON:WPP) Has Announced That It Will Be Increasing Its Dividend To £0.244
Apr 05Is It Time To Consider Buying WPP plc (LON:WPP)?
Mar 13WPP (LON:WPP) Is Paying Out A Larger Dividend Than Last Year
Feb 26An Intrinsic Calculation For WPP plc (LON:WPP) Suggests It's 50% Undervalued
Jan 12Is WPP (LON:WPP) A Risky Investment?
Dec 06WPP (LON:WPP) Will Pay A Larger Dividend Than Last Year At £0.15
Oct 05WPP (LON:WPP) Has Announced That It Will Be Increasing Its Dividend To £0.15
Sep 07WPP (LON:WPP) Has Announced That It Will Be Increasing Its Dividend To £0.15
Aug 24WPP (LON:WPP) Is Increasing Its Dividend To £0.15
Aug 09Is Now The Time To Look At Buying WPP plc (LON:WPP)?
Jul 25Financial Position Analysis
Short Term Liabilities: WPP's short term assets (£13.4B) do not cover its short term liabilities (£15.0B).
Long Term Liabilities: WPP's short term assets (£13.4B) exceed its long term liabilities (£6.9B).
Debt to Equity History and Analysis
Debt Level: WPP's net debt to equity ratio (85.2%) is considered high.
Reducing Debt: WPP's debt to equity ratio has increased from 64.2% to 138.9% over the past 5 years.
Debt Coverage: WPP's debt is well covered by operating cash flow (20.8%).
Interest Coverage: WPP's interest payments on its debt are not well covered by EBIT (2.5x coverage).