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Old 07-05-2012, 09:41   #1274
Hugh
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Re: Think Broadband Ping Monitor Results (POST YOURS)

Quote:
Originally Posted by craigj2k12 View Post
£5,640m debt..... nice
Most major companies have billions of medium and long-term debt - money is borrowed for growing the business, and paid back from the profits raised from the investment.

It's the Debt to Equity ratio that is important, and whether they can earn a higher rate of return than the interest rate at which it borrows, when becomes profitable for the business to borrow money.
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