$MRDN Cut Net Debt 65% and Changed the Small-Cap Story

AfraSimon
11:22

18 months ago, the bear case on $Meridian Hldg(MRDN)$ was straightforward:

Too much merger debt.

That argument is looking very different today. 👀

📉 The balance sheet has changed dramatically:

• Key debt down 46% YoY to $34.6M
• Net debt down 65% to just $9.4M
• Net leverage down to only 0.39x
$17.3M of cash on the balance sheet

That's a very different setup from a small-cap company weighed down by debt.

💰 And the bigger point is what the deleveraging enables.

A highly leveraged company has limited room to invest. Cash gets consumed by interest and debt repayment, leaving less flexibility to pursue growth.

$MRDN is moving in the opposite direction.

The company has been reducing debt while continuing to grow revenue and generate profit.

That gives it more financial flexibility to fund expansion across:

🇧🇷 Brazil
🇲🇽 Mexico
🇺🇸 United States

without necessarily needing to raise additional capital.


Markets are always moving - and sometimes, the best move is knowing what works for you.

With Treasury yields, oil prices and rate expectations keeping markets on edge this week, investors are once again thinking carefully about where to position next. There’s no one-size-fits-all choice in investing — and the same goes for Tiger Merch. This month’s hot picks are in, featuring the Tiger Toiletry Bag, Universal Travel Adapter, Tiger Umbrella and more favourites chosen by fellow Tigers.

Explore the Monthly Hot Picks in Tiger Coin Mall, now 12% OFF for a limited time.

https://laohu8.com/J/redeemGift?goodID=100561&type=delivery

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment