Severn Trent Balance Sheet Health
Financial Health criteria checks 2/6
Severn Trent has a total shareholder equity of £1.8B and total debt of £8.7B, which brings its debt-to-equity ratio to 478.5%. Its total assets and total liabilities are £14.9B and £13.1B respectively. Severn Trent's EBIT is £540.2M making its interest coverage ratio 2.5. It has cash and short-term investments of £1.1B.
Key information
478.5%
Debt to equity ratio
UK£8.70b
Debt
| Interest coverage ratio | 2.5x |
| Cash | UK£1.06b |
| Equity | UK£1.82b |
| Total liabilities | UK£13.13b |
| Total assets | UK£14.95b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: SVTL's short term assets (£2.0B) exceed its short term liabilities (£817.7M).
Long Term Liabilities: SVTL's short term assets (£2.0B) do not cover its long term liabilities (£12.3B).
Debt to Equity History and Analysis
Debt Level: SVTL's net debt to equity ratio (420.4%) is considered high.
Reducing Debt: SVTL's debt to equity ratio has reduced from 501.8% to 478.5% over the past 5 years.
Debt Coverage: SVTL's debt is not well covered by operating cash flow (9.9%).
Interest Coverage: SVTL's interest payments on its debt are not well covered by EBIT (2.5x coverage).