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Corporate News
 
Indian Companies Remain Stressed But Ability To Service Debt Improves
23-Nov-2017

Corporate balancesheets in India remains stressed but the ability of companies to pay interest on loans improved slightly in the quarter ended September.According to Credit Suisseā€™s Corporate Health Tracker report dated November 17 , the share of debt held by companies with interest coverage ratio of less than one was at 40 percent of the total debt, down 2 percentage points from the previous quarter, the report added. Interest coverage, the ratio of operating profit to interest expenses, is used to determine how easily a company can service interest payments on outstanding debt. A ratio of one or more means that the company will cover its cost of debt for the year.

News Source:- https://www.bloombergquint.com/business/2017/11/22/indian-companies-remain-stressed-but-ability-to-service-debt-improves