New World Department Store China Balance Sheet Health
Financial Health criteria checks 3/6
New World Department Store China has a total shareholder equity of HK$3.4B and total debt of HK$1.5B, which brings its debt-to-equity ratio to 43%. Its total assets and total liabilities are HK$10.9B and HK$7.5B respectively. New World Department Store China's EBIT is HK$166.5M making its interest coverage ratio 0.8. It has cash and short-term investments of HK$842.5M.
Key information
43.0%
Debt to equity ratio
HK$1.48b
Debt
| Interest coverage ratio | 0.8x |
| Cash | HK$842.53m |
| Equity | HK$3.44b |
| Total liabilities | HK$7.49b |
| Total assets | HK$10.93b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: NWRL.Y's short term assets (HK$1.2B) do not cover its short term liabilities (HK$4.1B).
Long Term Liabilities: NWRL.Y's short term assets (HK$1.2B) do not cover its long term liabilities (HK$3.4B).
Debt to Equity History and Analysis
Debt Level: NWRL.Y's net debt to equity ratio (18.5%) is considered satisfactory.
Reducing Debt: NWRL.Y's debt to equity ratio has increased from 31.9% to 43% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss-making in the past, we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable NWRL.Y has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: NWRL.Y is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 26.4% per year.