Severn Trent PLC

Severn Trent PLC carries $10.98B in total debt against $796.0M in cash reserves — debt is roughly 13.8x the cash position. Managing this leverage effectively will be important for long-term financial stability. Free cash flow is running at -$1.18B, which bears watching. Negative free cash flow can be acceptable during heavy investment periods but needs to improve over time. ROE of 20.5% points to strong capital efficiency, indicating how much profit the company produces per dollar of shareholder equity. ROA of 3.2% is on the lower side, which is common in asset-heavy industries. Revenue has grown from $1.94B (2022) to $2.43B (2025), reflecting a 25% increase over the period.

With a beta below 0.7, Severn Trent PLC typically sees smaller price swings than the overall market, offering a degree of stability during turbulent periods. The debt-to-cash ratio suggests meaningful leverage on the balance sheet, a factor worth monitoring if credit conditions tighten. Negative free cash flow means the company is currently spending more than it generates, which may require future fundraising or debt if the trend continues. Understanding these risk dimensions helps frame what to watch going forward as conditions evolve for Severn Trent PLC and its sector.