>>20028965>Corporations purposefully make as little profit as possible, its for tax dodging reasonsCorrect, but what is most concerning is the debt to income ratio. It's a trend in most corporations now where the name of the game is managing debt and maintaining access to credit. An example would be Paramount and WBD. Paramount will be assuming about $80 Billion debt after the merger and they will have a junk credit rating. So it isn't just TKO's overall low profits that are the risk, it's their corporate debt compared to their real assets (minus goodwill assets) and their admittedly low access to credit. If anything goes wrong for TKO and they need an extra $100 million to stay afloat, they may not have it and they really don't have enough real assets to sell off. And their entire income model is media rights. If any of their deals falls through, they are are suddenly in a tight spot. Which means Haitch needs to take care of the book and keep Saudi Arabia, Disney, USA Network, and Netflix happy. They are ok for now, but shit could go bad fast for them
