The leverage that
does not show up in
the leverage ratio.
1.2x
Net debt to EBITDA . the number in the investor deck
→
2.7x
Once you add the debt that sits on other lines
A friend sent me an investor deck last week. Net debt to EBITDA of 1.2. Clean balance sheet, he said, look how lightly geared it is. So I opened the notes to the accounts. The borrowings line was only half the story.